Shell has emphasized the critical role of infrastructure in advancing Nigeria’s domestic gas market and ensuring the effective monetization of the country’s vast gas resources.
Speaking at the just concluded Nigeria International Energy Summit (NIES) in Abuja, the Managing Director of Shell Nigeria Gas (SNG), Ralph Gbobo, highlighted the need for a transparent and cost-effective gas delivery system.
“The infrastructure will support the delivery of gas from producers to consumers in an efficient way that is also transparent and cost-effective,” Gbobo said during a panel session at the summit. He pointed to the Escravos-Lagos Pipeline System (ELPS) as an example of infrastructure that sustains the domestic gas market, stressing that full implementation of regulations—particularly the Network Code—would encourage more investors to participate in the sector.
Established in 1988, SNG has been a key player in Nigeria’s gas infrastructure landscape, developing gas distribution networks in Rivers, Abia, and Ogun states. The company currently supplies gas to over 140 domestic, industrial, and commercial customers. Last year, SNG expanded its footprint by signing an agreement with the Oyo State Government to build a gas distribution system aimed at delivering gas to businesses in the state and beyond.
Gbobo underscored the importance of collaboration across the entire gas value chain—including regulatory, upstream, midstream, and downstream sectors—stating that unlocking Nigeria’s gas potential requires clear policies and incentives.
“The implementation of clear policies and incentives allows for more investors to come into the domestic gas market, whether in gas production or infrastructural development. Investors need to be assured of a stable regulatory and fiscal market where their investments are guaranteed,” he said.
Shell Companies in Nigeria have invested significantly across the entire gas value chain, recognizing the commodity’s potential to drive industrialization and economic growth. With a stable investment climate and the right infrastructure in place, Shell believes Nigeria can fully harness its gas resources to power industries and boost economic development.
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