The Presidential Compressed Natural Gas Initiative (PCNGI) has signed a memorandum of understanding with LNG Arete Ltd to boost the use of compressed natural gas (CNG) in Nigeria's transport sector.
Michael Olowagbemi, Program Director of PCNGI, said the agreement aligns with President Bola Tinubu's push to make transportation more affordable by tapping into the country's abundant gas reserves.
He noted that while Nigeria has substantial gas deposits in 30 states, a key challenge remains the effective distribution of gas to end users across the country.
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Presidential CNG Initiative signs MoU with LNG Arete to expand gas-powered transport
Olowagbemi said the partnership will help address this gap and extend access to cleaner, cheaper fuel for transport and industry, particularly in the northern region.
The project, backed by a $12 million investment from LNG Arete, is expected to unlock additional funding and drive economic growth in sectors such as manufacturing, agriculture, and logistics.
LNG Arete's Project Director, Hajara Pitan, thanked President Tinubu and other stakeholders for supporting the initiative and making the MoU possible.
