Shell to supply 100m gas to Dangote fertilizer plant

Alex Omenye
Alex Omenye

The Shell Petroleum Development Company has completed arrangements to deliver 100 million standard cubic feet of gas per day to the Dangote Fertiliser and Petrochemical Plant located in Lekki, Lagos State.

The final investment decision was jointly made by SPDC and its partners, including the Nigerian National Petroleum Company Limited, TotalEnergies EP Nigeria Limited, and Nigerian Agip Oil Company.

Osagie Okunbor, the Managing Director of SPDC, announced this development in Port Harcourt, emphasizing that the decision marks a significant stride in supporting the Nigerian government’s ‘Decade of Gas’ initiative, as stated in a release by Shell Nigeria Media Relations Manager, Abimbola Essien-Nelson.

“This investment decision is a critical step in pursuing the development of the gas-rich Iseni field, which is part of the Okpokunou Cluster in Oil Mining Lease 35 located in Sagbama Local Government Area of Bayelsa State” Okunbor said.
The decision entails the establishment of a dedicated upstream facility aimed at providing 100 million standard cubic feet of gas daily to the Dangote Fertiliser and Petrochemical Plant in Lekki, Lagos State, for a duration of 10 years.

This initiative follows the agreement signed in March 2022 by SPDC, TotalEnergies, and the NNPC to deliver 70 million standard cubic feet of gas to Dangote Group’s fertiliser plants. The objective is to support increased production and facilitate enhanced exports.

Dangote Fertiliser Limited, situated on a sprawling 500-hectare expanse in Ibeju Lekki, Lagos State, Nigeria, represents a $2.5 billion investment. As the largest granulated urea fertiliser complex in Africa, it boasts an impressive annual production capacity of 3 million metric tonnes.

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