The Nigerian National Petroleum Company Gas Marketing Limited (NGML), a subsidiary of the Nigerian National Petroleum Company (NNPC) Limited, has executed a Gas Sale and Purchase Agreement (GSPA) with ?angote Petroleum Refinery and Petrochemicals FZE.
According to an issued statement on Wednesday by the NNPCL Chief Corporate Communications Officer, Olufemi Soneye, the agreement, signed by the NGML Managing Director, Justin Ezeala and the President/CEO of the ?angote Group, Aliko ?angote outlines the supply of natural gas for power generation and feedstock at the ?angote Refinery, in Ibeju-Lekki, Lagos State.
The new production figure for gas is 7.4billion standard cubic feet (bscf).
This major milestone is in line with President Bola Ahmed Tinubus policy of utilizing Nigerias abundant gas resources towards revamping the nations industrial growth and kickstarting its economic prosperity, the statement read.
This development, according to him, can be described as unprecedented in the history of NGML, or any gas Local Distribution Company (LDC) in the country.
He explained that under the terms of the agreement, NGML will supply 100 million standard cubic feet per day (MMSCF/D), 50MMSCF/D being firm supply and the rest 50MMSCF/D interruptible natural gas supply to the refinery for an initial period of 10 years, with options for renewal and growth.
This collaboration is a significant step toward ensuring the operational success of the ?angote Refinery and enhancing Nigerias domestic gas utilization. NNPC Ltd, through NGML, its gas marketing subsidiary, continues to lead efforts in promoting the use of domestic gas to support industries and businesses nationwide.
The agreement represents a milestone for both NNPC Ltd and ?angote Refinery, aligning with their shared commitment to boosting local production and providing vital products for the benefit of all Nigerians.
It is also a further proof of NGMLs unwavering commitment to business excellence and fulfilling NNPC Ltds core mandate of ensuring Nigerias energy security through the execution of strategic gas projects across the country, he said.
