NNPC Signs $3.3 Billion Gas Supply Deal For Methanol Plant In Bayelsa.
The Nigerian National Petroleum Company (NNPC) Limited has finalised a landmark agreement to supply gas to a $3.3 billion methanol plant being developed by Brass Fertilizer & Petrochemical Company Limited in Bayelsa State. The deal, signed in partnership with Shell, TotalEnergies, and Agip, is part of a broader initiative to monetise Nigeria’s vast gas reserves.
Ekperikpe Ekpo, the Minister of State for Petroleum (Gas), announced the agreement on Friday, highlighting its significance in driving Nigeria’s energy transition. The NNPC and its partners will supply approximately 270 million standard cubic feet of gas per day to the plant, located on Brass Island in Bayelsa. The project is expected to generate over $1.5 billion annually from the export of fertilisers, petrochemicals, and other gas-derived products.
This development aligns with the Nigerian government’s strategy to boost its gas sector. The ongoing Presidential Committee on Compressed Natural Gas (CNG) Initiative also aims to expand CNG conversion across the country to reduce dependence on petrol.
The successful implementation of the methanol project is a major step towards diversifying Nigeria’s economy and ensuring sustainable growth in its energy sector.