February 2, 2026 l By Dalena Reporters Staff Correspondent
ABUJA — In a strategic move expected to bolster Nigeria’s industrial capacity and gas-based energy transition, Dangote Industries Limited and the Nigerian National Petroleum Company (NNPC) Limited have signed a series of expanded gas sales and purchase agreements (GSPAs) aimed at powering increased output at the Dangote Petroleum Refinery, Dangote Cement Plc, and Dangote Fertiliser FZE. The deals were formalized on the sidelines of the official unveiling of the NNPC Gas Master Plan (GMP) 2026 in the Nigerian capital.
Representatives of both the private and state sectors described the gas agreements as critical enablers for meeting energy demand tied to planned expansions across the industrial giant’s operations. At the signing ceremony in Abuja, officials said the strengthened arrangements provide long-term certainty around gas supply a key input in refining crude, producing cement, and manufacturing fertiliser.
Strategic Framework for Growth
The GSPAs were signed between three Dangote subsidiaries and two NNPC units Nigerian Gas Marketing Limited and the NNPC Gas Infrastructure Company in alignment with Nigeria’s broader Vision 2030 strategy, which aims to drive industrial output, attract investment, and harness the nation’s abundant natural gas reserves.
At the event, David Bird, Managing Director and CEO of Dangote Petroleum Refinery, said the agreements represent a “major milestone” in scaling up production capacity and ensuring reliable energy inputs for future operations. He described them as proactive steps to secure the volumes of gas needed to support anticipated increases in refining throughput.
Dangote Cement’s Group Managing Director, Arvid Pathak, affirmed that the gas supply guarantees will support the company’s strategic objectives including higher output and the adoption of compressed natural gas (CNG) as an alternative fuel for industrial use. In the fertiliser sector, where natural gas serves as a primary raw material, executives noted the agreements underpin capacity-expansion initiatives that hinge on affordable, stable feedstock.
Policy Shift from Policy to Execution
Nigeria’s Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, described the launch of the Gas Master Plan as a deliberate shift away from mere policy articulation toward disciplined execution and commercial viability. He underscored that Nigeria’s challenge has long been transforming vast gas reserves into reliable supply and economic value for industry, households, and export markets.
NNPC Ltd’s Group CEO, Bashir Bayo Ojulari, said the gas plan and the Dangote deals are aligned with national targets to increase gas production to 10 billion cubic feet per day (bcf/d) by 2027 and 12 bcf/d by 2030. Those goals are supported by projected investment of more than $60 billion into Nigeria’s gas value chain over the next decade.
Implications for Nigeria’s Industry
The agreements signal a strengthening of public-private cooperation in the energy sector as Dangote — already home to one of the largest private industrial complexes in Africa locks in gas supplies that are vital for continuous production and energy-efficient operations. In refinery operations especially, gas is used as both a fuel and feedstock, while in cement production, it helps manage kiln heat and lower fuel costs.
Analysts say the deals not only help reduce operational risk for Dangote’s industrial subsidiaries but also contribute to Nigeria’s broader economic agenda of industrialisation and cleaner energy utilisation, shifting away from heavier reliance on oil and traditional fuels.