NNPC Begins Construction of Five Mini LNG Plants in Ajaokuta, Kogi State
The Nigerian National Petroleum Company Limited (NNPCL) has officially launched the construction of five mini Liquefied Natural Gas (LNG) plants in Ajaokuta, Kogi State, marking a significant milestone in Nigeria’s gas infrastructure development. The groundbreaking ceremony, held on January 30, 2025, signals the government’s commitment to expanding domestic gas utilization and positioning Nigeria as a leader in natural gas production.
The five projects—PRIME LNG, NGML/Gasnexus LNG, BUA LNG, Highland LNG, and LNG Arete—are strategically located in Ajaokuta due to its proximity to major pipeline infrastructure. According to NNPCL’s Group Chief Executive Officer, Mele Kyari, this location will ensure seamless gas supply, supporting both industrial and domestic needs. He emphasized that President Bola Tinubu’s administration is focused on unlocking Nigeria’s gas potential, describing this initiative as a major step toward the country’s gas revolution.
The combined capacity of these plants is expected to produce 97 million standard cubic feet of gas per day, which will significantly enhance energy security, support industrialization, and create employment opportunities in the region. The initiative also aligns with Nigeria’s broader energy transition strategy, which promotes the adoption of Compressed Natural Gas (CNG) as a cleaner alternative to traditional fossil fuels. Farouk Ahmed, Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, highlighted that Ajaokuta is emerging as a major gas hub, with multiple CNG compression stations, refueling centers, and LNG facilities already in development.
Governor Usman Ododo of Kogi State welcomed the investment, noting that the projects will attract approximately $500 million, drive economic growth, and contribute to Nigeria’s carbon emissions reduction goals. He described the LNG plants as critical to ensuring energy independence and strengthening Nigeria’s position in the global gas market.
With the federal government prioritizing gas as a key driver of economic growth, the successful implementation of these LNG plants is expected to boost industrial activities, expand local energy supply, and create sustainable jobs. As work begins on the five facilities, stakeholders remain optimistic that Nigeria’s gas sector will continue to evolve, reinforcing the country’s energy resilience and economic diversification efforts.
