The Nigerian Content Development and Monitoring Board (NCDMB) and Butane Energy Limited have commissioned a 180-metric-tonne LPG Filling Plant in Kaduna, Kaduna State.
The development is viewed as a significant milestone in the organisations’ goal of making Liquefied Petroleum Gas (LPG) a widely accessible, cleaner, and more cost-effective fuel option for cooking in the country.
The filling plant, which is the second after the commissioning of another 100MT LPG Storage and Bottling Plant in Katsina State in 2021, is part of a joint venture to establish five of such facilities in Northern Nigeria with a combined storage capacity of 1,000MT.
According to a statement by NCDMB’s Corporate Communications division, Kano LPG Storage and Bottling Plant in Kano State is slated for commissioning in the first quarter of 2025.
The statement hinted that “construction work on another in Bauchi is at an advanced stage. Abuja is next in line.”
Speaking to newsmen shortly after the commissioning ceremony at the Kaduna Plant, the Executive Secretary of NCDMB, Engr. Felix Ogbe, expressed satisfaction with the “impressive strides of Butane Energy Ltd.”
Ogbe who was represented by the Director of Monitoring and Evaluation, Alhaji Abdulmalik Halilu, pointed out that NCDMB was motivated to enter into equity partnership with the indigenous LPG storage, trading and marketing company after the latter presented “a [bankable] business plan aimed at enhancing gas penetration in northern Nigeria.”
The NCDMB boss explained that the Board acted in line with its statutory mandate to catalyse in-country capacity development through equity funding.
According to him, NCDMB was also interested in job creation through such projects, as there were clear possibilities for employment into technical and managerial cadres as operations progressed.
No fewer than 200 Nigerians gained employment, and there was the added benefit of local content growth, he added.
“Equally significant to the NCDMB was the consideration that the project was in alignment with the Federal Government’s expressed commitment to net-zero emissions by 2026, and the campaign for cleaner alternative to kerosene and firewood as cooking fuel.”
On his part, the Chairman of Butane Energy Ltd, Alhaji Isa Inuwa Muhammed, clarified that NCDMB is a co-owner of the company, expressinh gratitude to the Board’s management for the confidence reposed in his company, particularly in its vision and business approach.
He said the relationship between the Board and Butane is based on trust, and that the success thus far would greatly reinforce the partnership.
Butane Energy Ltd, which was established in 2017 as a player in LPG storage and marketing, is said to have massive distribution assets in northern Nigeria.
NCDMB says the company is deliberate in its corporate objective to make the fuel accessible to every part of the region.
The LPG Filling Plant is part of NCDMB’s strategic third-party investments aimed at supporting in-country capacity development, reducing reliance on traditional fuels, fostering sustainability and building a greener future for Nigeria.
