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FG Launches Groundbreaking CNG Project in Akwa Ibom to Boost Clean Energy and Economic Growth

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—By Sunday Bassey, March 2025—

The Federal Government has officially inaugurated the construction of a 10 million standard cubic feet per day (MMSCF/D) Compressed Natural Gas (CNG) Mother Station in Esit Eket, Akwa Ibom State. This landmark project, spearheaded by Nsik Oil and Gas Limited, aligns with the administration’s vision to drive cleaner, more affordable energy solutions across Nigeria.

President Bola Ahmed Tinubu, represented by the Minister of State for Petroleum Resources (Gas), Mr. Ekperikpe Ekpo, led the groundbreaking ceremony on Thursday, March 2025, emphasizing the project’s role in Nigeria’s energy transition strategy.

A Game-Changer for Nigeria’s Energy Sector

In his address, President Tinubu described the CNG Mother Station as a game-changing initiative that will significantly reduce dependence on petrol and make gas a more accessible and cost-effective energy alternative. He noted that the project is in line with his Renewed Hope Initiative, which prioritizes sustainable economic development through gas expansion.

“The goal is to make energy cleaner, more affordable, and accessible to all Nigerians. This project will drastically lower gas prices, making CNG a viable alternative to petrol, which has surged to N900 per litre in some parts of the country,” Tinubu stated.

The President commended Nsik Oil and Gas Limited for its bold investment in Nigeria’s gas sector, stressing that private-sector participation is critical to achieving the nation’s energy transition goals.

Massive Investment in the Gas Sector

Tinubu disclosed that the Federal Government had already released over N222 billion into the gas industry and planned to inject an additional N400 billion within the next two months.

“Our administration is committed to ensuring that gas remains a key driver of economic growth and energy security,” he said.

The CNG Mother Station is expected to provide cheaper fuel alternatives, reduce the cost of transportation, and create employment opportunities for thousands of Nigerians, particularly youths in Akwa Ibom.

Local Investments for Sustainable Development

Tinubu urged state governments and local entrepreneurs to take advantage of opportunities in the gas sector, emphasizing that economic growth starts with local investments.

“I commend Nsik Oil and Gas for choosing Esit Eket as the project site, instead of the CEO’s home local government. This selfless decision will promote balanced economic development across Akwa Ibom,” he said.

He also called on the host community to provide a peaceful and conducive environment to support the success of the project, adding that large-scale investments thrive on strong local support.

“This project will transform Esit Eket into an economic hub, attracting further investments and boosting sustainable development,” he added.

Nsik Oil and Gas: Commitment to Energy Security

Speaking at the event, the Chairman and CEO of Nsik Oil and Gas Limited, Mr. Nsikan Johnny, expressed appreciation to the Federal and Akwa Ibom State Governments for their support. He described the project as a bold step towards energy security, economic empowerment, and national prosperity.

“This project is not just about building a facility; it’s about creating opportunities, stimulating economic growth, and improving the quality of life for Nigerians,” Johnny emphasized.

He also highlighted the project’s transformative impact across various sectors, including transportation, manufacturing, and domestic energy consumption.

Call for Job Opportunities for Youths

Mrs. Inemesit Ikot, the Chairperson of Esit Eket Local Government Area, pledged the community’s support but urged stakeholders to prioritize employment opportunities for youths to curb restiveness.

She emphasized that local workforce involvement in the project would enhance social stability and ensure that the economic benefits extend to the grassroots level.

Conclusion: A New Era for Clean Energy in Nigeria

The inauguration of the CNG Mother Station in Akwa Ibom marks a significant milestone in Nigeria’s energy transition journey. With the Federal Government’s commitment to gas expansion, this project is set to reshape the country’s energy landscape, reduce fuel costs, and create thousands of jobs.

As Nigeria moves towards cleaner, more sustainable energy solutions, the success of this initiative could pave the way for similar investments across other states, accelerating economic growth and energy security.

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