Chevron Nigeria Limited (CNL), operators of the Nigerian National Petroleum Corporation (NNPC)/ Chevron joint venture projects yesterday said it has signed a Gas Sale and Aggregation Agreement (GSAA) with Dangote åGas Aggregation Company of Nigeria Limited (GACN) as the aggregator.
The agreement commits NNPC and CNL to supply 70mmScf/d of natural gas to Dangote Fertiliser Limited to enable startup and operation of the newly- built fertiliser plant.
A statement from Chevron said the agreement was executed on behalf of the three companies by Jeffrey Ewing, Chairman/Managing Director of CNL; Morgan Okwoche, Managing Director/CEO of GACN; and Devakumar Edwin, Group Executive Director, Strategy, Capital Projects & Portfolio Development of DFL, respectively.
(NNPC executed the GSAA subsequently.) The Dangote Fertiliser Plant at Ibeju, Lekki, Lagos, is a flagship mega fertiliser project designed to support the federal government’s drive to develop the agriculture sector and in-turn improve the Nigerian economy. Natural gas is the feedstock of the Dangote Fertiliser Plant.
This GSAA for the supply of the major raw material needed to run the fertiliser plant is another demonstration of the NNPC/CNL JV’s commitment to the domestic gas market. The NNPC/CNL Joint Venture (JV) is currently the largest and most on-spec supplier of gas to the domestic market.
The JV continues to collaborate extensively with other stakeholders in finding creative solutions to issues relating to the domestic gas market.
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