P-CNGi to establish CNG kits manufacturing park in Kogi

Thu, Jan 30, 2025
By editor
3 MIN READ

Oil & Gas

The Presidential Compressed Natural Gas Initiative (P-CNGI) says it will collaborate with a private sector partner in Ajaokuta, Kogi State to establish a CNG Park to boost local content.

Mr Michael Oluwagbemi, Programme Director, P-CNGI, made this known on Thursday at the flag off of the Five Mini Liquefied Natural Gas (LNG) Plants in Ajaokuta, Kogi State.

“We are excited at the Presidential Compressed Natural Gas Initiative

to witness Kogi State’s transformation into a major gas hub,” he said.

Oluwagbemi said the CNG park would be established for local manufacturing of conversion kits, job creation, building skills and reduction on imports dependence.

The News Agency of Nigeria (NAN) reports that the Nigerian National Petroleum Company Limited (NNPC Ltd.) and its partners flagged off the 97 million standard cubic feet of gas per day (mmscf/d) plants to deepen domestic gas utilisation.

The domestic gas utilisation is in line with the Federal Government’s Gas Revolution Agenda (GRA).

The groundbreaking ceremony signalled the commencement of construction works on the plants namely – NNPC Prime LNG, NGML/Gasnexus LNG, BUA LNG, Highland LNG and LNG Arete.

The event, themed ‘From Gas to Prosperity: Catalyzing Nigeria’s Economic Growth’, marks a significant milestone in Nigeria’s journey to harness its natural gas resources for economic growth.

“Strategically located at the heart of Nigeria and bordering 10 states, Kogi is perfectly positioned to facilitate efficient and cost-effective gas distribution across the country.

“This groundbreaking LNG hub by the NNPC Limited and partners will undoubtedly catalyse this potential,” Oluwagbemi said.

He said that the P-CNGI had championed the transition to CNG as a cheaper, efficient and environmentally friendly alternative to petrol,

since its establishment in 2023.

According to him, its goal is to convert one million commercial vehicles to CNG by 2027, with significant progress already made.

He said that over 190 conversion centres have been established, with 56 retail outlets dispensing CNG.

Oluwagbemi said that the conversion centres and the CNG dispensing outlets were established with combined public and private investments of over 470 million dollars.

“We aim to grow these numbers to 500 conversion centres and over 150 CNG retail outlets by year-end.”

Recognising the challenges of gas access in the North East and North West, he said Mini-LNG plants would play a critical role in bridging the gap, while awaiting the completion of the Ajaokuta–Kaduna–Kano (AKK) pipeline.

“I commend the Minister of State for Petroleum Resources (Gas), Mr Ekperikpe Ekpo and the Group Chief Executive Officer of NNPC Ltd., Malam Kyari, for driving this revolution.

“Your leadership is laying the groundwork for a sustainable energy future and solidifying Nigeria’s role as a leader in CNG and LNG adoption,” Oluwagbemi said.

The project, which is a multifaceted  pipeline development, in line with the ‘Decade of Gas’ agenda will produce and deliver Condensate, LNG, Liquefied Petroleum Gas (LPG), CNG and  increasing gas availability. (NAN)

30th January, 2025.

A.E

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