Dangote Group, NNPC Subsidiaries Sign Strategic Gas Supply Agreements

Dangote Group, NNPC Subsidiaries Sign Strategic Gas Supply Agreements

Three subsidiaries of Dangote Industries Limited—Dangote Petroleum Refinery, Dangote Fertiliser Plant and Dangote Cement Plc—have strengthened their Gas Sales and Purchase Agreements (GSPAs) with subsidiaries of the Nigerian National Petroleum Company Limited (NNPC Ltd) to support their ongoing expansion projects and rising energy needs.

The agreements, executed with Nigerian Gas Marketing Limited and NNPC Gas Infrastructure Company Limited (NGIC), are expected to bolster Dangote Group’s Vision 2030 by ensuring increased output, improved and cleaner energy supply, and sustained support for its expansion initiatives.

The upscaled supply deals were signed at the unveiling of the NNPC Gas Master Plan (NGMP) 2026, held at the NNPC Towers in Abuja over the weekend.

Managing Director and Chief Executive Officer of Dangote Petroleum Refinery, Mr. David Bird, signed on behalf of the refinery, while the Group Managing Director of Dangote Cement Plc, Mr. Arvid Pathak, signed for the cement company. Dangote Fertiliser FZE was represented by Mr. Mustapha Matawalle.

Speaking at the signing ceremony, Bird described the agreements as a major milestone in the refinery’s expansion drive, noting that they reflect proactive steps to secure the significant energy requirements needed to support anticipated increases in production capacity.

Pathak said the agreement would enable Dangote Cement Plc to achieve its strategic objectives by guaranteeing gas supply to support the adoption of compressed natural gas (CNG) as Autogas, as well as meeting growing energy demand arising from expanded production capacities in Nigeria. He added that the deal would further promote the use of cleaner fuel for both transportation and industrial operations.

For Dangote Fertiliser FZE, the agreement is expected to underpin the company’s fertiliser expansion projects, given that natural gas is a critical feedstock in fertiliser production.

Meanwhile, Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, described the Gas Master Plan as a decisive shift from policy formulation to disciplined execution, anchored on commercial viability and sector-wide coordination.

“Today’s launch is not merely the unveiling of a document; it represents a deliberate shift towards a more integrated, commercially driven and execution-focused gas sector, aligned with Nigeria’s development aspirations,” Ekpo said. He stressed that Nigeria’s challenge has never been its gas potential, but the effective translation of resources into reliable supply, infrastructure into value, and policy into tangible economic outcomes.

Ekpo added that the Plan’s focus on supply reliability, infrastructure expansion, domestic and export market flexibility, and strategic partnerships aligns with the Federal Government’s Decade of Gas Initiative, positioning natural gas as the backbone of Nigeria’s energy security, industrialisation and just energy transition.

In his address, Group Chief Executive Officer of NNPC Ltd, Engr. Bashir Bayo Ojulari, described the NGMP 2026 as a bold, execution-driven roadmap designed to unlock Nigeria’s vast gas potential and position the country as a globally competitive gas hub.

Ojulari noted that Nigeria holds about 210 trillion cubic feet (Tcf) of proven gas reserves, with upside potential of up to 600 Tcf, making it one of the most significant hydrocarbon basins globally. He said the Plan is reinforced by the Petroleum Industry Act (PIA) and the Federal Government’s gas-led energy transition agenda.

“The Plan is structured not just to deliver, but to exceed the Presidential mandate of increasing national gas production to 10 billion cubic feet per day by 2027 and 12 billion cubic feet per day by 2030, while catalysing over $60 billion in new investments across the oil and gas value chain by 2030,” he said.

Ojulari added that the Plan prioritises cost optimisation, operational excellence and the systematic advancement of resources from 3P to bankable 2P reserves, while strengthening gas supply to power generation, CNG, LPG, Mini-LNG and key industrial off-takers.

Reaffirming his commitment as Chief Sponsor of the initiative, the NNPC Ltd GCEO said the company has adopted a more collaborative and investor-centric approach in developing the NGMP 2026, with strong alignment among industry stakeholders, partners and investors.