The Nigeria National Petroleum Company Limited (NNPC), the Gas Aggregation Company of Nigeria (GACN), and the Nasarawa State Government have signed a Memorandum of Understanding (MoU) for the supply of gas to Nasarawa State industries and investors.
The Memorandum of Understanding for gas supply was signed on Thursday in Lafia during the Nasarawa Business Roundtable meeting to explore investment opportunities in the gas sector.
The signing of the MoU was witnessed by Nasarawa State Governor Abdullahi Sule, Group Managing Director of NNPC, Malam Mele Kyari, Group Executive Director Gas & Power, NNPC Ltd, Malam Mohammed Abdulkabir Ahmed, and Mr Bolaji Osunsanya, Chief Executive Officer (CEO) of Axxela.
The NNPC Group Managing Director, Kyari, provided concrete pictorial evidence of the AKK pipeline project’s progress and emphasized that Nasarawa State is uniquely positioned to maximize value from the AKK pipeline and gas based business opportunities.
Kyari emphasized and appreciated Mr. President’s unwavering commitment to using gas as a major economic development tool.
The Business Roundtable commended the GMD and current NNPC Management for instilling accountability, transparency, and forthrightness in NNPC Ltd’s operating methods.
Speaking at the event, Mr Olalekan Ogunleye, Managing Director of GACN, stated that the collaboration between Nasarawa State Government, NNPC Ltd., and GACN has established a clear framework through which investors and projects in the state will have immediate access to gas.
He stated that this would be accomplished via Virtual Pipeline Solutions (CNG & LNG) prior to the completion of the AKK pipeline project.
“This is a significant step in the federal government’s Gas Utilization Expansion drive, which is being vigorously facilitated by NNPC and GACN.”
“This MoU establishes clear deliverables that are time-bound and based on securing gas on competitive terms in the short, medium, and long term.”
“As previously stated, similar Memorandums of Understanding were signed with Kano and Kaduna States a few months ago, and those engagements have now progressed to the Gas Supply Agreement negotiation stage.”
“Clearly, NNPC Management continues to drive the commercialisation of gas resources as a national economic development issue, while GACN and other NNPC subsidiaries such as NGMC and NGC have clear roles and responsibilities to deliver concrete progress and value,” the GACN MD explained.
Sule also urged Nasarawa State residents to take advantage of opportunities across the gas value chain, including gas distribution, CNG stations, captive/embedded power generation, LPG marketing, and gas flare commercialization.