The Federal Government has announced plans to establish 500 compressed natural gas (CNG) stations across Nigeria over the next three years, aiming to accelerate the nation’s shift to cleaner and more affordable fuels.

Oluwole Adama, Executive Director of the Midstream and Downstream Gas Infrastructure Fund (MDGIF), said the initiative seeks to reduce the country’s reliance on petrol. The plan follows discussions between MDGIF and Endurance Group, a leading Chinese manufacturer.

The partnership will create a government-backed special purpose vehicle (SPV), the Compressed Natural Gas Auto Mobility Infrastructure Company (CAM InfraCo), promoted by MDGIF, the Bank of Industry (BOI), Endurance Group, and Séquor Investment Partners.

Adama explained that CAM InfraCo will deploy 500 integrated CNG refuelling stations, develop local CNG supply infrastructure, and provide CNG and LNG transportation trucks with truck-mounted cascades, forming a virtual pipeline across all states. The project is expected to ease long queues at existing CNG stations and ensure a reliable fuel supply nationwide.

Oluwatoyin Subair, Senior Special Adviser to the President on Special Duties and Domestic Affairs, said the initiative aligns with President Bola Tinubu’s vision of energy security, promoting auto-CNG adoption while reducing dependence on petrol and diesel. The project is also expected to generate new jobs across the domestic gas value chain.

Eric Lin, CEO of Endurance Group, added that the SPV will build a nationwide CNG refuelling, maintenance, and logistics ecosystem, leasing CNG equipment to certified operators and ensuring a consistent supply through a world-class virtual pipeline network.