Nigeria's state oil firm, NNPC Ltd, has announced a major milestone in its collaboration with the Dangote Refinery. A subsidiary of NNPC, the Nigerian National Petroleum Company Gas Marketing Limited (NGML), has executed a Gas Sale and Purchase Agreement with the Dangote Petroleum Refinery and Petrochemicals located in Lagos.
This agreement was signed by Justin Ezeala, Managing Director of NGML, and Aliko Dangote, President and CEO of the Dangote Group, at the Corporate Head Office of Dangote in Falomo, Lagos.
Under the terms of this landmark agreement, NGML will supply 100 million standard cubic feet of gas per day to the refinery for an initial period of 10 years, with options for renewal and growth. The supply will consist of 50 million standard cubic feet per day as a firm supply and an additional 50 million as interruptible natural gas.
This arrangement is designed to provide natural gas for power generation and feedstock at the refinery, aligning with President Bola Tinubu’s policy of utilizing Nigeria’s abundant gas resources to drive industrial growth and economic prosperity.
The Dangote Refinery, built by Nigerian billionaire Aliko Dangote, is situated on a 6,180-acre site at the Lekki Free Trade Zone in Lagos State. It is supplied with crude oil via the world's largest sub-sea pipeline infrastructure, which spans 1,100 kilometers. With a processing capacity of 650,000 barrels per day, the refinery ranks seventh among the world's largest refineries and is capable of producing up to 50 million liters of gasoline and 15 million liters of diesel daily.
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