The Nigerian National Petroleum Company (NNPC) Limited has announced that its subsidiary, NNPC Gas Marketing Limited (NGML), has finalized a Gas Sale and Purchase Agreement (GSPA) with Dangote Petroleum Refinery and Petrochemicals FZE.

In a statement on Wednesday, Chief Corporate Communications Officer of NNPCL, Olufemi Soneye, confirmed the signing. The agreement was executed on Tuesday at the Dangote Corporate Head Office in Falomo, Lagos State, with NGML Managing Director, Barr. Justin Ezeala, and Dangote Group President/CEO, Aliko Dangote, signing on behalf of their respective organizations. The agreement secures a supply of natural gas to the Dangote Refinery in Ibeju-Lekki, Lagos, for both power generation and as feedstock.

Soneye emphasized that this partnership aligns with President Bola Ahmed Tinubu’s commitment to leveraging Nigeria’s gas resources to stimulate industrial growth and economic prosperity. This agreement, noted as one of NGML's most substantial commitments without any capital expenditure (CAPEX) from NNPCL, is regarded as a groundbreaking achievement in Nigeria’s gas distribution history.

Under the agreement terms, NGML will provide 100 million standard cubic feet per day (MMSCF/D) of natural gas, with 50 MMSCF/D as firm supply and another 50 MMSCF/D as interruptible supply, for an initial term of 10 years with options for extension and scalability.

NNPCL highlighted that this collaboration represents a major step in supporting the Dangote Refinery’s operations while advancing Nigeria’s domestic gas utilization goals. The statement read, “This milestone for both NNPC Ltd. and Dangote Refinery underscores their commitment to enhancing local production and providing essential products for Nigerians. It further reflects NGML’s dedication to business excellence and fulfilling NNPC Ltd.’s core mandate of securing Nigeria’s energy needs through strategic gas projects nationwide.”