KEY POINTS
- Shell Nigeria Gas has signed an agreement to supply gas to SG Industrial FZE in Ogun State, expanding its industrial client base.
- The deal supports the Federal Government’s Decade of Gas initiative and aligns with Shell’s push to build a resilient domestic distribution network.
- New industrial customers have recently connected to Shell’s pipeline network, signalling rising demand for cleaner and more reliable energy.
Shell Nigeria Gas has taken another step in widening its industrial footprint in the south-west after sealing an agreement to supply gas to SG Industrial FZE, a steel manufacturer operating in the Guandong industrial zone of Ogun State.
The move adds fresh momentum to Shell’s distribution strategy at a time when domestic industries are searching for steadier and cleaner sources of energy to counter rising operating costs.
In a statement, the company said the agreement strengthens an already expanding customer base, built on a network of roughly 150 kilometres of pipelines spread across Abia, Bayelsa, Ogun and Rivers states.
Shell Nigeria Gas, working alongside NNPC Gas Marketing Limited, now supplies gas to more than 150 clients through this network, positioning itself as one of the most dependable operators in the sector.
Ralph Gbobo, Managing Director of the company, said the deal underlines its long-term commitment to building a system that can keep pace with Nigeria’s industrial ambitions. At the signing ceremony, he said that Shell aims to build, operate and maintain a distribution structure that is reliable, resilient and transparent, ensuring that manufacturers have access to the fuel they need to expand.
Deal Deepens Support for Nigeria’s Decade of Gas
SG Industrial FZE described the partnership as a turning point for its operations, saying consistent energy supply will underpin both immediate production needs and long-term expansion plans. The steel sector, like many other energy-intensive industries, has struggled with fluctuating supply and rising costs, making predictable gas delivery a critical advantage.
Shell Nigeria Gas said the momentum is part of a broader effort to widen access to domestic gas under the Federal Government’s Decade of Gas initiative. The programme aims to stimulate manufacturing, reduce emissions and strengthen local value chains by encouraging industries to shift from more expensive and less sustainable fuels to natural gas.
The company noted that its network has recently taken on new industrial clients, including Reliance Chemical Products Limited II, Ultimum Limited, Nigeria Distilleries Limited III and Rumbu Industries Nigeria Limited. These additions, it said, reflect growing confidence in its infrastructure and highlight the increasing appetite for cleaner, more economical energy in Nigeria’s manufacturing hubs.
Incorporated in 1998 as a fully Shell-owned business, Shell Nigeria Gas has steadily grown into a key player in the domestic gas market. Its latest deal in Ogun State reinforces its broader pledge to support local industries and strengthen Nigeria’s transition toward greater use of gas as a driver of economic growth.
