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Driving energy sector transformation in Nigeria via strategic infrastructure investments by MDGIF

Neglect of midstream and downstream gas infrastructure in Nigeria's energy sector persists for several decades. Despite this,

Transforming Nigeria's energy sector with strategic investments in essential infrastructure, as...
Transforming Nigeria's energy sector with strategic investments in essential infrastructure, as demonstrated by MDGIF.

Driving energy sector transformation in Nigeria via strategic infrastructure investments by MDGIF

In a significant stride towards addressing the infrastructure gaps in Nigeria's energy sector, various companies are set to commission new projects in the coming months. The Midstream and Downstream Gas Infrastructure Fund (MDGIF) is playing a pivotal role in this development.

Rolling Energy Limited is one such company, building Liquefied Compressed Natural Gas (LCNG) and Compressed Natural Gas (CNG) refueling stations at ten locations across Abuja, Kano, Kaduna, and Borno States. Commissioning for these stations is scheduled for the first quarter of 2026.

Nsik Oil and Gas Limited is also making progress, with their CNG refueling project reaching 45% completion. They aim to commission the project in the same quarter as Rolling Energy.

FEMADEC Energy Limited is establishing CNG refueling stations in 20 universities nationwide, with 5 stations already commissioned. Ibile Oil and Gas Corporation is building 15 CNG refueling stations, with a 60% completion rate and expected commissioning by the fourth quarter of 2025. Topline Limited is developing a mini-Liquefied Natural Gas (LNG) plant at Oghara, Delta State, expected to be commissioned by the last quarter of 2025.

Asiko Energy Holdings Limited is constructing a LPG/Propane and LNG Terminal in Ijora, Lagos, with commissioning scheduled for the third quarter of 2026.

Since its inception, 16 companies have benefited from MDGIF's support, including FEMADEC Energy Limited, Asiko Energy Holdings Limited, Ibile Oil and Gas Corporation, and Topline Limited.

The MDGIF, under the leadership of Executive Director Mr. Oluwole Adama, is focused on delivering high-quality gas infrastructure that supports cleaner energy use, drives industrial growth, and improves livelihoods. The Fund is helping to reduce energy costs, enhance national energy security, stimulate industrial development, and generate employment opportunities across the value chain.

Nigeria's energy sector has significant infrastructure gaps in the midstream and downstream gas sub-sector. The lack of processing plants, storage systems, and refueling stations has increased dependence on petroleum products and slowed the transition to sustainable energy alternatives.

The MDGIF's interventions are expanding access to affordable and cleaner energy, lowering transportation costs, strengthening energy security, stimulating industrial growth, and creating thousands of jobs. The Fund's rapid progress highlights its focused implementation approach and commitment to delivering tangible benefits for Nigerians.

The MDGIF will continue to prioritize transparent project delivery and robust governance to ensure investments translate into measurable socioeconomic benefits for communities nationwide. The shortage of gas infrastructure has been a long-standing issue, but with the MDGIF's intervention, Nigeria is making strides towards a more sustainable and secure energy future.

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