Oil & GasTop Story

NMDPRA Awards 10 Gas Distribution Licences to Boost Nigeria’s Gas Utilization

...licences will boost access to clean cooking, CNG mobility, and improve power generation -- Minister Ekpo

588

“The licences were issued to NNPC Gas Marketing Company, Shell Nigeria Gas Limited, NIPCO Plc, Central Horizon Gas Company, Falcon Corporation Ltd, and AXXELA”

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has awarded 10 Gas Distribution Licenses (GDLs) to six companies, marking a significant milestone in Nigeria’s quest to increase gas utilization and expansion.

The licences were issued to NNPC Gas Marketing Company, Shell Nigeria Gas Limited, NIPCO Plc, Central Horizon Gas Company, Falcon Corporation Ltd, and AXXELA.

According to Farouk Ahmed, Chief Executive of NMDPRA, the beneficiaries were selected from a pool of over 30 applicants based on defined requirements.

“The licences being issued today will support the ‘last mile’ expansion, crucial in completing an efficient and interconnected gas network across the country,” Ahmed said.

He noted that the newly awarded licences cover a cumulative gas distribution capacity of approximately 1.5 bscf/d, with over 1,200km of gas distribution pipeline network and over 500 customer stations.

The GDL regime aims to enable gas supplies to energy-intensive industries, industrial parks, special economic zones, embedded/captive power generation, Compressed Natural Gas mobility schemes, and other downstream gas utilization programmes.

Ahmed highlighted the benefits of Piped Natural Gas (PNG), saying it “provides continuous supply, is cost-effective, safer, and eliminates storage challenges.”

The authority will monitor tariff setting and safety standards by the companies to ensure efficient and transparent operation of the Gas Distribution Network.

The Minister of State, Petroleum Resources (Gas), Ekperikpe Ekpo, noted that the licences will boost access to clean cooking, CNG mobility, and improve power generation.

He added that President Bola Tinubu’s Liquefied Petroleum Gas (LPG) penetration programme will enable gas to be piped directly to homes and industrial centers across the country.

With only about 25% of Nigerians currently using gas for cooking, this development is expected to have a significant impact on the country’s energy landscape.

Leave a comment

Related Articles

Tinubu approves licences for 11 new private universities, raising the number to 161

In a significant move to expand educational opportunities and infrastructure in Nigeria,...

Breaking: Reinstated Speaker Obasa presides over Lagos Assembly plenary, adjourns sitting

The just-reinstated Speaker of Lagos State House of Assembly, Mudashiru Obasa, on...

Breaking: Meranda steps down as Lagos Speaker as ousted Speaker Obasa steps in

The prolonged leadership crisis in the Lagos State House of Assembly seems...

Breaking: Rivers Assembly Gives Gov. Fubara 48-Hour to Re-present 2025 Budget

Following the Supreme Court judgment, the Rivers State House of Assembly has...

Tragedy strikes as businessman kills wife in brutal attack over Ramadan meal

A tragic incident has occurred in Bauchi State, where a 24-year-old housewife...

President ejects fellow President from his office amid heated exchange

A shouting match erupted in the Oval Office on Friday as U.S....

Sultan declares Saturday, March 1 as commencement of Ramadan nationwide

For sighting the new moon of Ramadan, the Nigerian Supreme Council for...

Tinubu assents to record-breaking N54.99trn 2025 budget, prioritizing security, infrastructure, healthcare

President Bola Tinubu on Friday signed historic N54.99 trillion 2025 Appropriation Bill,...

Just in: Why Akpabio is victimizing me – Sen. Akpoti-Uduaghan

The face-off between Sen. Natasha Akpoti-Uduaghan and Senate President Godswill Akpabio has...

Police backtrack, restore Meranda’s security as two speakers emerge in Lagos Assembly

Lagos Police Commissioner Moshood Jimoh, has backtracked, saying the security personnel attached...

Cult Violence Claims Life in Bayelsa as Man is Fatally Stoned

A brutal cult clash in Yenagoa, the Bayelsa State capital, claimed the...

Breaking: Impeached Speaker Obasa Storms Lagos Assembly

The impeached Speaker of Lagos State House of Assembly, Mudashiru Obasa has...

Just in: Security details of Lagos Speaker, Meranda, allegedly withdrawn

Police operatives and details attached to the Lagos Speaker, Mojisola Meranda, and...

Nigeria’s gas flare commercialisation initiative to unlock $2.5bln in new investment – NUPRC boss Komolafe

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced that the Nigeria...

NLNG MD Laments Persistent Pipeline Vandalism Amid Gas Supply Challenges

The Nigeria Liquefied Natural Gas Limited (NLNG) is facing significant challenges in...

NIES 2024: NNPC Ltd. Wins Prestigious Award for Best Fully Integrated Energy Company

The Nigerian National Petroleum Company Limited (NNPC Ltd) has emerged as the...

Gunmen Launch Night Raid on Benue University, Kidnap Four Female Students

Insecurity concerns in Benue State have escalated following the kidnapping of four...

IITA, Research Institutions Crucial to FG’s Agric Revolution – VP Shettima

Vice President Kashim Shettima has restated the importance of research institutions like...

NNPC Shipping, Stena Bulk, Caverton Launch New Joint Venture To Boost Nigeria, Africa’s Energy, Maritime Sectors

The Nigerian National Petroleum Company Limited (NNPCL) Shipping, Stena Bulk, and Caverton...

NNPC Shipping, Stena Bulk, Caverton Launch Groundbreaking Joint Venture to Drive Nigeria, Africa’s Energy, Maritime Industries

By Joycelyn Ellakeche Adah NNPC Shipping, Stena Bulk, and Caverton Marine Limited...