The Shell Petroleum Development Company of Nigeria Limited (SPDC) and its joint venture partners – Nigerian National Petroleum Company Limited (NNPC), Totalenergies EP Nigeria Limited, and Nigerian Agip Oil Company (NAOC) have signed an agreement for a daily supply of 70 million standard cubic feet of gas to Dangote Fertiliser Company to boost production and for local and export purposes.
The signing ceremony was done on Wednesday as a key highlight of the ongoing fifth edition of the Nigerian International Energy Summit in Abuja.
Dangote Fertiliser Company boasts Africa’s largest granulated urea fertiliser complex and produces around 65 per cent of Nigeria’s domestic fertiliser requirements.
SPDC managing director, and country chair, Shell companies in Nigeria, Osagie Okunbor, described the agreement as a significant step in supporting the Nigerian government’s agriculture policy for food security.
“Dangote Fertiliser Limited currently produces the bulk of Nigeria’s fertiliser and this agreement will greatly enable the company’s capacity,” he said.
Chief executive of NNPC Mele Kyari said the agreement would accelerate Nigeria’s journey to self-sufficiency in fertiliser production.
“It’s government’s drive to ensure that we become self-sufficient in the production of fertiliser in our country, and specifically for this year, it’s zero import of fertiliser into our country,” Kyari said.
President and chief executive, Dangote Group, Aliko Dangote, who signed the agreement on behalf of the company said the additional gas supply would “help us bring in more foreign exchange to Nigeria and confirm Nigeria’s position as the continent’s second-largest producer of fertilizer.”
