Monday, July 27Reporting with Care

NCDMB, BUTANE ENERGY COMMISSION BAUCHI LPG PLANT TO DEEPEN DOMESTIC GAS UTILISATION

The Nigerian Content Development and Monitoring Board (NCDMB) has intensified its drive to expand domestic gas utilisation and promote cleaner energy with the commissioning of a new Liquefied Petroleum Gas (LPG) plant in Bauchi State, reaffirming its commitment to strengthening indigenous participation across Nigeria’s oil and gas value chain.

The facility, commissioned on Thursday in partnership with Butane Energy Limited, represents another milestone in the Board’s strategic investment programme aimed at increasing access to cooking gas, stimulating local enterprise and supporting the Federal Government’s energy transition agenda.

The project builds on the successful collaboration between the NCDMB and Butane Energy Limited, which has already delivered similar LPG facilities in Katsina and Kaduna states, expanding the availability of clean cooking fuel across northern Nigeria.

Representing the Executive Secretary of the NCDMB, Engr. Felix Omatsola Ogbe, the Board’s Director of Corporate Services, Dr. Abdulmalik Halilu, commended Butane Energy Limited for its sustained investment in domestic gas infrastructure, describing the partnership as a model for promoting Nigerian content while addressing the country’s growing energy needs.

Halilu reaffirmed the Board’s resolve to continue supporting investments that deepen local participation in the petroleum industry, improve energy accessibility and stimulate sustainable economic development.

He explained that the partnership is firmly rooted in the provisions of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act, 2010, which empowers the Board to support Nigerian companies in building capacity, improving competitiveness and creating greater value within the country’s oil and gas industry.

“The commissioning of this LPG plant demonstrates the Board’s commitment to implementing the Nigerian Oil and Gas Industry Content Development Act through strategic investments that promote Nigerian content, support indigenous businesses and expand domestic gas utilisation,” Halilu said.

Beyond improving access to LPG, he noted, the project aligns with national efforts to encourage the use of cleaner energy sources, reduce dependence on traditional biomass fuels such as firewood and charcoal, and lower greenhouse gas emissions associated with household cooking.

The Federal Government has consistently identified increased domestic utilisation of natural gas as a key pillar of Nigeria’s energy transition strategy. Despite possessing one of Africa’s largest proven natural gas reserves—estimated at more than 200 trillion cubic feet—LPG consumption in many parts of the country remains constrained by inadequate distribution infrastructure, limited storage capacity and affordability challenges.

It is believed that investments in LPG storage, bottling and distribution facilities are essential to unlocking the country’s gas potential, reducing energy poverty and improving public health by replacing polluting cooking fuels with cleaner alternatives.

In recent years, the NCDMB has expanded its investment portfolio beyond traditional local content compliance to include strategic equity participation in critical energy infrastructure projects. These investments span modular refineries, gas processing plants, manufacturing facilities and other industrial ventures designed to increase domestic value addition, create employment and strengthen indigenous capacity throughout the energy sector.

The partnership with Butane Energy Limited reflects this broader strategy of leveraging public-private collaboration to accelerate infrastructure development while ensuring that Nigerian companies play leading roles in the country’s industrial transformation.

Officials said the Bauchi facility is expected to improve the availability and distribution of LPG within the state and neighbouring communities, enhance supply chain efficiency and stimulate economic activities through the creation of direct and indirect employment opportunities.

The commissioning ceremony was attended by senior officials of the Board, including Mrs. Chika Asa Enwerem-Okidi, Deputy Manager, Commercial Ventures Division and Alternate Director on the Butane Equity Investment Partnership; Mr. Oshagbami Joseph, Assistant Manager, Commercial Ventures Division; Mr. Fahad Isa Kaita, Officer, Commercial Ventures Division; and Mr. Foncha Prince, Officer, Corporate Communications. The latest investment reinforces the NCDMB’s growing role as a catalyst for industrial development, demonstrating how local content implementation can extend beyond compliance to support infrastructure expansion, indigenous enterprise and Nigeria’s long-term transition to a cleaner, gas-powered economy.

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