NGML-NIPCO Gas-Lekki Free Zone Development Company Enters Into Agreement for Supply of Natural Gas in Lekki Free Zone

NIPCO Gas Limited in partnership with NNPC Gas Marketing Limited (NGML) has signed Gas Infrastructure and Development Agreement with Lekki Free Zone Development Company (LFZDC) to provide natural gas supplies to industries and Power plants.

This strategic alliance is certainly going to attract more and more industries to set up their facilities within LFZDC which will not only support the consortium but also help LFZDC in the development of the FZE area in an exponential manner. This is also going to boost the industrialization and employment opportunities in the Lekki area which in turn will boost the economy of the country. Managing Director, NIPCO Gas mentioned that the collaboration between NGMLNIPCO & LFZDC shall attract industries as LFZDC has many advantages like proximity to the sea-port, export promotion zone advantages, improving road connectivityhence providing better logistics for movement of raw materials or finished products etc.

The natural gas pipeline, scheduled for completion within the next six months, has been designed with the purpose of delivering gas to the Lekki Free Zone and providing gas to a 24-Megawatt (MW) power plant situated in that region.

During the signing ceremony held in Lagos on 24th November 2022, Nagendra Verma,the Managing Director of NIPCO Gas, expressed that this agreement will greatly facilitate the seamless distribution of gas to the Lekki region of Lagos State. This being a prestigious Government project, we feel really happy to be associated with this project and would really like to thank NNPC Gas Marketing Limited for making NIPCO Gas their preferred partner and a great thank to LFZDC for partnering with the NGMLNIPCO Consortium.

While speaking at the agreement signing ceremony, Mr. Justin U. Ezeala, Esq.,Managing Director of NGML mentioned that this is a very prestigious project and shall benefit all stakeholders in a big way and will also help in deepening the utilization of indigenous natural gas.

Mr. Dai Shunfa, Managing Director, LFZDC expressed his happiness and assured for all necessary support required to complete this project timely.

NIPCO Gas Limited in partnership with NNPC Gas Marketing Limited (NGML) has the natural gas distribution network along Lagos-Ibadan Expressway and supplies gas to industries to meet their energy requirement. With the availability of natural gas distribution network on the Lagos Ibadan Expressway, a lot of industries are setting up their facilities there. This has resulted in the overall development of the area with the increased number of employments resulting in the socio-economic upliftment of citizens.

Industries are enjoying reliable, economical and clean fuel for powering their factories and other fuel needs. The Use of natural gas has reduced the industries’ fuel bills drastically and also contributed to lower equipment maintenance costs being the cleanest fuel. The increased usage of domestic gas is helping the government in a reduction in fuel importation and fuel subsidy burden also.

NIPCO Gas has natural gas distribution network in Benin City, Edo State and supplying gas to industries for their power and fuel requirement. Presently 7 CNG stations in Edo State, 1 CNG station in Delta state, 1 CNG station in Ogun State and 2 CNG stations in Kogi state is operational. In line with Federal Governments NGEP program, additional CNG stations are in various stages of construction in Oyo State, Lagos state, Abuja FCT, Akwa Ibom state etc.