Dangote refinery lands NNPC gas deals to fuel expansion, target U.S., UK

Dangote refinery signs fresh NNPC gas supply deals, strengthening energy security as it expands exports to U.S. and UK markets.

Timilehin Adejumobi
Timilehin Adejumobi
Dangote Refinery secures NNPC gas supply deals

Dangote Group, West Africa’s largest conglomerate, has expanded gas supply agreements with units of the Nigerian National Petroleum Company Limited, shoring up energy supply for its refinery, fertiliser and cement operations as Nigeria pushes to make natural gas a backbone of economic growth. 

The agreements were signed with Nigerian Gas Marketing Limited and NNPC Gas Infrastructure Company during the Nigeria Gas Master Plan 2026 event in Abuja, according to statements on Monday from Dangote Petroleum Refinery, Dangote Fertiliser Plant and Dangote Cement Plc. Financial terms and gas volumes were not disclosed.

Gas supply underpins industrial scale 

The deals come at a time when Nigeria is under pressure to translate its vast gas reserves into steady supply for heavy industry, power generation and exports, while reducing reliance on dirtier fuels. 

Dangote’s sprawling industrial operations depend heavily on gas to run plants that serve domestic markets and supply products to Africa, Europe and beyond. A more secure supply is seen as essential as the group looks to ramp up refinery output and expand exports, including refined fuels and fertiliser to markets such as the United States and the United Kingdom. 

Nigeria holds Africa’s largest proven gas reserves, but shortages and weak infrastructure have long constrained industrial users. 

Nigeria Gas Master Plan targets investment 

Launched last week, the Nigeria Gas Master Plan 2026 outlines plans to expand pipelines, improve supply reliability and draw private capital into the sector. 

The plan targets lifting gas production to 10 billion cubic feet per day by 2027 from about 8 billion cubic feet currently, with output rising to 12 billion cubic feet per day by 2030. The federal government estimates the effort could attract more than $60 billion in investment across the gas value chain. 

Minister of State for Petroleum Resources (Gas) Ekperikpe Ekpo said the strategy reflects a shift from policy design to execution, adding that the challenge is “turning reserves into dependable supply and real economic value.” 

NNPC Group Chief Executive Officer Bashir Bayo Ojulari said the plan is aimed at boosting production, lowering costs and improving gas supply to key industrial users, while making Nigeria more attractive to global investors.

Dangote positions for next phase 

For Dangote Group, the agreements reinforce the importance of energy stability as it deepens its footprint across Africa’s largest economy. 

Founder Aliko Dangote oversees operations in 17 countries spanning cement, sugar, salt, packaging, energy, ports, petrochemicals and fertiliser. The group recently appointed MTN Group chief executive Ralph Mupita to the board of its fertiliser business, ahead of a planned initial public offering of its $2.5 billion urea plant.

Dangote refinery

Subscribe

Subscribe to our newsletter to get our newest articles instantly!

[mc4wp_form]

Share This Article