MDGIF Targets 500 CNG Stations in Three Years In Nigeria With Nationwide Gas Infrastructure Plan

MDGIF Targets 500 CNG Stations in Three Years In Nigeria With Nationwide Gas Infrastructure Plan
Oluwole Adama, Managing Director, Midstream and Downstream Gas Infrastructure Fund (MDGIF)

Nigeria is accelerating its clean-fuel transition with a major push to build 500 Compressed Natural Gas (CNG) refuelling stations across the country within the next three years.

The plan is being driven by the Midstream and Downstream Gas Infrastructure Fund (MDGIF), which says it has concluded discussions with leading Chinese manufacturer Endurance Group to deliver the nationwide rollout.

MDGIF Executive Director Oluwole Adama said in Abuja that the talks focused on creating a government-backed Special Purpose Vehicle (SPV) involving MDGIF, the Bank of Industry (BOI), Endurance Group and Séquor Investment Partners.

He noted that “the collaboration underscores the parties’ commitment to accelerating Nigeria’s transition to cleaner fuels by addressing infrastructure gaps across the country’s CNG value chain.”

CAM InfraCo Set to Lead CNG Expansion

Adama said the partners will establish the Compressed Natural Gas Auto Mobility Infrastructure Company (CAM InfraCo) to lead the deployment. He explained that “this will be used to deploy 500 integrated CNG refuelling stations, develop LCNG gas supply infrastructure, and provide CNG and LNG transportation trucks with truck-mounted cascades, forming a virtual pipeline across all states nationwide.”

He added that the initiative will ease long queues at existing CNG stations by widening access and improving supply logistics. Adama emphasized that consistent distribution will help stabilize the fast-growing CNG ecosystem and support the broader transition away from petrol and diesel.

Senior Special Adviser to the President on Special Duties and Domestic Affairs, Oluwatoyin Subair, said the initiative backs President Bola Tinubu’s push for energy security. He noted that the plan supports the effort to deepen the use of auto-CNG while reducing reliance on Premium Motor Spirit (PMS) and Automotive Gas Oil (AGO) in the transport sector.

Boost to Jobs and Clean-Energy Adoption

Subair added that the CNG rollout fits into the administration’s economic reforms aimed at promoting cleaner and cheaper fuel options. He said it will also expand job opportunities across the domestic gas value chain and stimulate new investments in gas mobility infrastructure.

Endurance Group CEO Eric Lin said the SPV aims to establish a national CNG refuelling, maintenance and logistics ecosystem. He explained that it will do so by leasing CNG equipment to certified operators while ensuring stable gas supply through a world-class virtual pipeline.

Nationwide Strategy to Reach Underserved Regions

The CAM InfraCo strategy will support a commercially viable refuelling network built on strong leasing and logistics operations. It will prioritize delivering CNG from key mother stations into underserved northern corridors and fast-growing southern hubs to achieve sustainable nationwide coverage.

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