Shanghai, July 10 (Xinhua) -- According to the monitoring of the "Global Perception" information platform of China Economic and Social Council, the Federal Government of Nigeria is accelerating investment in natural gas infrastructure projects to explore the domestic natural gas market, promote industrialization, and attract private capital into the energy sector.

According to local media reports on the 10th, Oluwole Adama, Executive Director of Nigeria's Midstream and Downstream Natural Gas Infrastructure Fund (MDGIF), revealed at the Nigeria Oil and Gas Energy Week conference held in Abuja that the fund has invested in 113 natural gas infrastructure projects nationwide, covering 8 natural gas processing facilities, 15 compressed natural gas/liquefied compressed natural gas (CNG/LCNG) mother stations, 86 sub stations, and 4 liquefied petroleum gas warehouses. At present, the above-mentioned projects are in different stages of construction, some of which will be put into operation before the end of 2026, and the rest are expected to be completed in the first quarter of 2027.

It is understood that the fund was established in accordance with Nigeria's 2021 Petroleum Industry Act, with the aim of prioritizing support for commercially viable projects, expanding domestic natural gas utilization, supporting gas-fired power generation, narrowing infrastructure gaps, promoting clean transportation, and attracting private investment.

Adama stated that investing in natural gas infrastructure will enhance industrial competitiveness, improve energy accessibility, support power generation, and create employment. He emphasized that the government needs to reduce investment risks and leverage private capital participation through stable policies, predictable regulation, and risk sharing mechanisms.

According to him, the fund has received over 350 project proposals, but many are not yet eligible for investment. Investors need to complete preliminary preparations such as feasibility studies, engineering designs, environmental approvals, and natural gas supply agreements before applying for financing.

It is reported that Nigeria has discovered natural gas reserves exceeding 200 trillion cubic feet, but insufficient processing, transportation, and distribution facilities have constrained domestic utilization. The federal government is continuously promoting the implementation of the "Natural Gas Decade" initiative and the Petroleum Industry Act to expand natural gas utilization and support industrial growth.

Original link: Nigeria Gas Projects: Govt Backs 113 to Boost Industrialisat

Editor: Ge Jiaming

(Author Xinhua Finance)