The Federal Government has announced plans to establish 500 Compressed Natural Gas (CNG) stations across Nigeria, marking a significant step in the country’s transition to cleaner, more affordable energy sources.
The initiative was disclosed through the Midstream and Downstream Gas Infrastructure Fund (MDGIF), which confirmed that the rollout will be executed in partnership with Chinese firm Endurance Group over three years.
MDGIF Executive Director, Mr Oluwole Adama, revealed that the project will be implemented via a government-endorsed Special Purpose Vehicle (SPV) comprising MDGIF, the Bank of Industry (BOI), Endurance Group, and Séquor Investment Partners.
“This partnership reinforces our unified commitment to drive Nigeria’s transition to cleaner energy by bridging critical infrastructure gaps in the CNG value chain,” Adama stated.
The newly established SPV, named the Compressed Natural Gas Auto Mobility Infrastructure Company (CAM InfraCo), will oversee the development and deployment of the 500 integrated CNG stations. Its mandate also includes setting up LCNG facilities that convert liquefied natural gas to compressed natural gas and coordinating the movement of CNG and LNG trucks across the country.
According to the MDGIF, the coordinated movement of these transport trucks will effectively form a virtual gas pipeline, enabling improved distribution of natural gas to regions lacking physical pipeline infrastructure.
Government officials say the project is expected to boost Nigeria’s utilisation of clean energy, expand access to alternative fuel options, reduce dependence on petrol, and support the national autogas transition programme.
The initiative aligns with the Federal Government’s broader goal of lowering carbon emissions while promoting affordable, domestically sourced energy solutions for households, businesses, and the transport sector.
