- Shell Nigeria Gas (SNG) partners with the Oyo State Government to develop gas distribution infrastructure.
- The agreement spans 20 years. SNG will construct and operate the network, aiming for 60 million standard cubic feet of gas daily by 2025.
Shell Nigeria Gas (SNG) and the Oyo State Government have signed an agreement to develop a gas distribution infrastructure for industrial and commercial users in the state. The agreement, spanning 20 years, entails SNG constructing and operating the network.
Initial plans involve a 15km pipeline route that could deliver up to 60 million standard cubic feet of gas daily across the state by 2025.
Governor Seyi Makinde views the project as pivotal for Oyo State’s development. Ralph Gbobo, SNG’s Managing Director, highlights the project’s potential to boost economic activities, revenue generation, and job creation in the state.
Osagie Okunbor, Managing Director of The Shell Petroleum Development Company of Nigeria Limited, said the collaboration underscores efforts to advance Nigeria’s energy sector. It emphasizes the partnership’s significance in delivering cleaner energy solutions.
SNG’s extensive experience positions it well to drive progress in Oyo State’s energy landscape under Nigeria’s Decade of Gas initiative.
In parallel, through the Minister of State for Petroleum (Gas), Ekperikpe Ekpo, the Federal Government emphasised prioritising companies capable of building gas distribution pipelines. This aims to deter the use of roads for transporting compressed natural gas, aligning with efforts to enhance efficiency and sustainability in energy distribution nationwide.