MDGIF Commissions CNG Refuelling Facility at OAU

  • MDGIF has commissioned an integrated CNG refuelling facility at Obafemi Awolowo University as part of a 20-campus national rollout.
  • The project aims to embed Nigeria’s gas transition agenda within universities through public–private equity partnerships.

The Midstream and Downstream Gas Infrastructure Fund (MDGIF) has commissioned an integrated Compressed Natural Gas (CNG) refuelling facility at Obafemi Awolowo University in Ile-Ife, Osun State. Stakeholders described the project as a strategic step to embed Nigeria’s gas transition agenda within federal universities.

The initiative forms part of a broader plan to deploy CNG infrastructure across 20 federal universities through equity partnerships with private investors. Therefore, the project marks a shift from policy advocacy to tangible infrastructure delivery.

MDGIF Executive Director Oluwole Adama described the facility as more than a campus transport solution. Instead, he presented it as a practical demonstration of Nigeria’s gas-based energy transition. He added that the fund established the project to deepen domestic gas utilisation.

Adama explained that MDGIF catalyses investments in midstream and downstream gas infrastructure through private sector partnerships. The fund supports projects that unlock gas value chains, expand access and improve environmental sustainability. In addition, it prioritises measurable socio-economic impact.

He confirmed that the OAU facility is one of 20 CNG projects supported in partnership with FEMADEC Energy Limited. Consequently, MDGIF plans to replicate similar investments nationwide.

Unlike conventional urban CNG rollouts, the OAU project adopts a hybrid model. It combines refuelling services, vehicle conversion and transport deployment within a controlled academic setting. As a result, the facility integrates infrastructure, research and mobility in one ecosystem.

The Vice-Chancellor, Prof Adebayo Simeon Bamire, said the project will transform the university into a living laboratory for alternative fuel research. He noted that it will strengthen innovation, practical learning and community collaboration. Furthermore, he expects benefits for engineering, environmental science and energy policy research.

The Group Managing Director and Chief Executive Officer of FEMADEC Group, Akinnola Fola, reaffirmed his company’s commitment to scalable gas infrastructure. He emphasised that universities serve as strategic anchors because they combine innovation, youth engagement and community integration.

The facility will deploy CNG buses and offer vehicle conversion services. Therefore, petrol-powered vehicles can transition to gas. Stakeholders expect lower transport costs, reduced carbon emissions and cleaner mobility for students and staff.

In addition, Oluremi Tinubu donated 50 CNG-powered buses to the university. Presidential Initiative on Compressed Natural Gas (PiCNG) also provided 10 CNG-powered tricycles. These contributions aim to ease transport challenges and accelerate gas adoption.

The project follows intensified federal efforts to expand domestic gas use after petrol subsidy removal in 2023. Although Nigeria holds one of Africa’s largest proven gas reserves, domestic infrastructure has lagged behind export capacity.

MDGIF was established to bridge financing gaps in processing, storage and distribution infrastructure. By situating CNG facilities in universities, the fund seeks to drive behavioural change among young Nigerians. It aims to create a scalable template for wider urban deployment.

Stakeholders argue that gas-powered mobility offers a practical transition pathway. Compared with full electrification, CNG requires less complex infrastructure. It delivers immediate cost and environmental benefits.

As MDGIF expands the model to other campuses, observers say the OAU project will test whether Nigeria’s gas transition can move from policy ambition to daily implementation.

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