Shell Nigeria Gas and the Oyo State Government have agreed to build a gas supply and distribution infrastructure to serve the state’s industrial and commercial users.
Shell Nigeria’s Media Relations Manager, Abimbola Essien-Nelson, stated on Friday that SNG would develop and operate the gas distribution network to serve Oyo State customers for 20 years.
According to the statement, the project will begin with the installation of gas distribution infrastructure along a 15-kilometer pipeline route and expand to provide up to 60 million standard cubic feet of gas per day throughout the state.
In his remarks at the epoch-breaking event, Oyo State Governor Seyi Makinde described the project as a catalyst for the state’s development. He stated that the project fits into the plan to drive innovation and industrialization in Oyo State and that the state is ready to partner with more companies and other organizations to enhance the delivery of relevant projects.
SNG’s Managing Director, Ralph Gbobo, stated that the agreement was “a significant milestone for SNG and Oyo State to boost economic activities in Nigeria by supplying industries and manufacturers with natural gas, a more reliable, cost-efficient, and environmentally friendly energy source.”
Osagie Okunbor, Managing Director of The Shell Petroleum Development Company of Nigeria Limited and Chairman of Shell Companies in Nigeria, stated that the event demonstrated the importance of collaboration as “Shell continues to power progress” in Nigeria by providing more and cleaner energy solutions to commercial and industrial customers.
“Building on our presence in the country since the 1960s and the wide marketing and trading reach of Shell Energy, we are excited about developing gas distribution solutions and delivering competitive and reliable energy for power generation and industrial use across Nigeria,” he said.
SNG was founded in 1998 as an entirely Shell-owned corporation. Over the years, it has become a gas supplier and today serves over 150 clients in Abia, Bayelsa, and Ogun.