The Nigerian National Petroleum Company (NNPC) Limited has signed six strategic agreements with key industry players as part of efforts to strengthen Nigeria’s energy security and accelerate industrial development.
The agreements were signed on the sidelines of the 25th NOG Energy Week in Abuja and include a Memorandum of Understanding (MoU), Gas Supply Agreements (GSAs) and Network Entry Agreements with several energy and industrial partners.
According to Andy Odeh, NNPC’s spokesperson, the deals involve the Ajaokuta Steel Company Limited (ASCL), UTM FLNG, ANOH Gas Processing Company (AGPC), NNPC Exploration and Production Limited (NEPL) and other stakeholders.
One of the key agreements will see the Ajaokuta Steel Company receive gas to power its operations while supporting the revival of Nigeria’s steel industry.
The deal also aims to boost the local production of steel materials needed for major oil and gas infrastructure projects.
Another major agreement is a 15-year gas supply deal between the NNPC/Seplat Joint Venture and UTM FLNG, under which 200 million standard cubic feet of gas per day will be supplied to support the floating LNG project.
NNPC also announced the successful migration of legacy gas transportation agreements through new Network Entry Agreements with Chevron Nigeria Limited, AGPC and NEPL, a move expected to inject up to 800 million standard cubic feet of natural gas daily into Nigeria’s domestic gas network.
The additional supply is expected to support power plants, gas-based industries and industrial clusters across the country.
Speaking at the event, NNPC Group Chief Executive Officer, Bayo Ojulari, described the agreements as a major step towards Nigeria’s industrialisation.
“What we are witnessing today is not just about signing agreements. It is about igniting the engine of Nigeria’s industrialisation,” he said.
He added that natural gas remains one of Nigeria’s most valuable resources for driving economic growth and improving energy security.
“Gas is the key… It is also the only product that can have that level of industrial impact on Nigeria,” Ojulari stated.
The NNPC boss said the agreements align with the Federal Government’s gas-based industrialisation agenda and will promote local content, improve domestic gas supply and attract more investment into the sector.
The latest deals come just a day after the company disclosed that it had signed over $20 billion worth of gas agreements within the past year.
