Nipco Gas Limited has announced that it has commissioned a compressed natural gas (CNG) facility in Oron, Akwa Ibom state.
The company said this via its official LinkedIn page on Thursday, September 21.
NIPCO Gas commissioned a CNG Mother facility at Oron, Akwa Ibom State.
According to the company, the facility will support auto CNG requirements for Daughter-Booster Stations in the South-South part of Nigeria.
NIPCO Gas also said it is expanding its CNG Stations footprint across Nigeria in partnership with NNPC Limited.
At present, NIPCO Gas Limited adeptly oversees a network of 14 operational Compressed Natural Gas (CNG) stations strategically located across Nigeria.
They have accomplished the seamless conversion of over 7,000 vehicles to operate on CNG.
Backstory
On August 3, 2023, the Nigerian National Petroleum Company Limited (NNPCL) announced that it had signed a strategic partnership with NIPCO Gas Limited to facilitate the establishment of Compressed Natural Gas (CNG) stations nationwide.
According to NNPCL, the primary objective of the collaboration is to expand the existing CNG infrastructure, ensuring greater accessibility to CNG and accelerating the adoption of this cost-effective and environmentally friendly fuel for buses, cars, and Keke Napeps.
The shift from petrol will bring about a substantial reduction in transportation costs, thereby fostering sustainable growth within the national economy, according to NNPCL.
Shortly after signing a CNG agreement with the Nigerian National Petroleum Company Limited (NNPCL), Nipco Gas Limited said it will remain fully committed to fulfilling the responsibilities entrusted to the partnership as the fuel subsidy removal and the decision to use CNG as an alternative fuel will strengthen the country’s economy.
What to expect from the NNPCL-Nipco partnership
The partnership is expected to facilitate the following:
- A total of 35 cutting-edge CNG stations
- Establishment of three (3) flagship Mother stations, which will have the capacity to cater to the needs of over 200,000 vehicles daily, making a significant dent in automobile fuel expenses and transportation costs for the Nigerian populace.
- Note that the initial phase will facilitate 21 CNG stations to support intra-city transportation, to be operational by Q1/2024.
- The second phase will facilitate 35 CNG stations to boost inter-city transportation and will be operational by late 2024.
- An additional 56 CNG stations will be deployed by NNPC Retail nationwide.
What you should know
In August 2023, Tinubu inaugurated the Presidential Compressed Natural Gas Initiative (PCNGI). This visionary initiative sets its sights on a comprehensive transformation of the country’s transportation sector.
Its primary objectives include the introduction of over 11,500 new vehicles equipped to run on Compressed Natural Gas (CNG) and the facilitation of the conversion of a remarkable 55,000 existing petrol-dependent vehicles to CNG.
The PCNGI holds a vision of substantially enhancing local manufacturing and assembly of conversion kits, presenting a concurrent avenue for the creation of employment opportunities throughout the nation. The PCNGI’s strategy spans a diverse spectrum, featuring:
- The rollout of an Empowering Workshops Program
- The establishment of an expansive nationwide network of workshops spanning all geopolitical zones and states.
- The initiative also places a strong emphasis on boosting local assembly efforts, thus making a significant stride in generating employment opportunities at a considerable scale.
