Nigeria has taken another big step in strengthening its energy sector as the Nigerian National Petroleum Company Limited (NNPC) and several partners sealed $1.29 billion worth of Gas Supply Agreements (GSAs) with the Nigeria Liquefied Natural Gas Limited (NLNG).

The long-term contracts, which run for 20 years with extension options, will see the delivery of 1.29 billion standard cubic feet per day (bscf/d) of feed gas to NLNG.

A Boost for Energy Security & Economy

The deal, signed in Abuja on Friday, brings together NNPC and major upstream gas suppliers, including:

Amni International Petroleum Development Company Limited

Sunlink Energies and Resources Limited

First Exploration & Petroleum Development Company Limited

SNEPCo

NNPC Gas Marketing Limited

NNPC E&P Limited

Shell Nigeria Gas Solutions Limited

Oando Group

Aradel Holdings

According to NNPC, the agreement is designed to bridge the persistent shortfall in upstream gas availability. It also supports the federal government’s energy transition drive, while reinforcing Nigeria’s long-term goal of using gas as a key driver of economic growth and energy security.

Government Backs Industry Revival

At the event, the Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, reassured stakeholders that President Bola Tinubu is determined to revive Nigeria’s oil and gas industry. He noted that with the new incentives introduced by the government, international oil companies that once exited Nigeria will have reasons to return.

Industry Leaders React

Speaking at the signing, NNPC’s Group CEO, Bayo Ojulari, praised NLNG shareholders and the federal government for sustaining their commitment despite industry challenges. He described the agreements as “a giant step towards value creation and sustainable gas supply.”