NNPCL Acquires 15% Equity in Starzs Gas CNG Station in Delta

The Nigerian National Petroleum Company Limited (NNPCL), through its subsidiary, NNPC Gas Marketing Limited (NGML), has agreed to take a 15 per cent equity shareholding in Starzs Gas Limited’s two million standard cubic feet per day (2mmscf/d) Compressed Natural Gas (CNG) mother station in Iwhrekan, Ugheli South Local Council of Delta State.

As part of the equity partnership, the national oil company has also agreed to guarantee gas supply to the multi-million-dollar facility on a competitive pricing basis, allowing its logo to stand side by side with that of Starzs Gas in further demonstration of the partnership.

The partnership was announced at the project’s recent groundbreaking ceremony led by the Managing Director of NGML, Justin Ezeala, who represented the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo.

Starzs Gas, owned by Nigeria’s foremost maritime billionaire and multi-portfolio investor, Greg Ogbeifun, sited close to NAZ 3 gas plant in Utorogu, on a land size of 21,002.226sm2, will be inaugurated in the first quarter (Q1) 2026 while its scale up to 5mmscf/d will happen within 18 months.

The first phase of the project is estimated to cost over $7 million. The project aligns with the Federal Government’s commitment to ensure the penetration and utilisation of domestic gas to drive industrialisation, increase access to affordable power, and reduce the country’s carbon footprint through the adoption of CNG as auto fuel.

Upon completion, the one-stop-shop facility is expected to undertake industrial CNG supplies, power generation-based load supplies, natural gas vehicle fueling, vehicle conversion, and general natural gas distribution to off-grid and satellite locations lacking pipeline infrastructure, all supported by a virtual pipeline system.

MEANWHILE, NNPCL has purchased 500 CNG-powered trucks. The state-owned firm has already commissioned six CNG stations in Lagos and Abuja.

Mrs Henrietta Ogun of the NNPC Retail Operations, made this known in her presentation titled: “A focus on NNPC Operations,” in an NNPC/Engagement session with selected Kannywood Artistes in Abuja.

She said: “I was just talking about CNG. As you are aware, NNPCL still commissioned six CNG stations in Abuja sometime last year. And recently, just last week, six stations in Lagos also just got commissioned.