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NNPCL, NIPCO collaborate to foster CNG uses in Nigeria

by Akeem Adeyemi
Group Managing Director of NNPC Mele Kyari 768x378 1
NNPCL NIPCO collaborate to foster CNG uses in Nigeria

The Nigerian National Petroleum Company Limited (NNPCL) announced its partnering with NIPCO Gas Limited on Thursday, to develop Compressed Natural Gas (CNG) stations across Nigeria.

The NNPCL group chief executive officer, Mele Kyari, disclosed this at a press briefing in Abuja on Thursday.

idanNews gathered that the coalition is part of the company’s commitment to reducing its carbon footprint and providing cheaper alternative fuel to motorists in the country.

“As part of the NNPCL commitment to reducing carbon footprint and providing cheaper alternative fuel to motorists, the company is happy to announce a strategic partnership with NIPCO Gas Limited to develop Compressed Natural Gas (CNG) stations,” Mr Kyari said.

He said this initiative was in addition to the phased deployment of 56 CNG stations planned by NNPC Retail across the country.

“This landmark collaboration aims to expand our CNG infrastructure, improve access to CNG, and accelerate the adoption of cheaper and cleaner alternative fuel for buses, cars and Keke NAPEP, which will significantly reduce the cost of transportation and engender sustainable national economic growth.

“Under the NNPC-NIPCO strategic partnership, 35 state-of-the-art CNG stations will be constructed nationwide, including three (3) Mother stations,” he said. 

Once fully operational, Mr Kyari said the stations could service over 200,000 vehicles daily, thereby reducing carbon emissions and associated impact on climate.

According to premiumtimesng  the project will be rolled out in phases.

“The first phase, comprising 21 CNG stations, will support intra-city transportation and be ready by the first quarter of 2024; While the second phase, comprising 35 CNG stations, will support inter-city transformation and will be ready by the first quarter of 2025,” 

“This will be further complemented by an additional 56 stations to be deployed by NNPC Retail across the country,” he added.

To deepen and sustain this initiative, Mr Kyari noted that the NNPCL had floated NNPC Prime LNG Limited for domestic LNG production and supply. 

He noted that the NNPC is also collaborating with Miju Auto Gas, a leading CNG kit Equipment Manufacturer (OEM) based in India, to set up training and conversion centres to facilitate in-country conversion of vehicles from petrol to CNG.

Mr Kyari said NIPCO Gas Limited is operating 14 CNG stations across Nigeria and has converted over 7,000 vehicles to run on CNG.

“NIPCO’s technical competency and field experience will bolster this initiative’s success and amplify its positive impact on the nation’s economy. 

“This forward-thinking initiative will leverage Nigeria’s abundant natural gas resources to bring multiple benefits to Nigerians, including access to cheaper fuel, reduced cost of transportation, reduced carbon emission, create new business value chains and streams of job opportunities,” he said.

He noted that NNPCL remains committed to reliably delivering energy while continuously creating value for Nigeria’s prosperous future. 

Mr Kyari enunciate that Nigeria is endowed with over 200 trillion cubic feet of proven natural gas reserves, from which numerous economic value is driven, such as gas to power, petrochemicals/fertiliser in000000lkk kook industries and the transport sector using CNG. 

He explained that CNG is produced by compressing natural gas to 200-250 bar to enhance its storage in onboard cylinders.

“CNG is a suitable and cheaper alternative fuel for motorists with lower emission impact. With CNG, Nigerian motorists can afford a cheaper and environmentally friendly fuel to supplement PMS consumption and enhance domestic energy security,” he added.

Also speaking, Nagendra Verma, the managing director of NIPCO, said partnering with NNPCL would help deepen gas utilisation in the country.

Mr Verma said NIPCO has 12 years of experience in the distribution of auto CNG while noting that it would continuously work with NNPCL towards gas market expansion. 

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