NESGAS Limited, a leading player in Nigeria’s Liquefied Petroleum Gas (LPG) distribution sector, has secured a $200 million contractor financing agreement with Cakasa Nigeria Limited for the construction of a state-of-the-art 50,000 metric ton LPG storage facility in Onne, Rivers State.
Describing the agreement as a major milestone, NESGAS highlighted its commitment to expanding Nigeria’s LPG infrastructure and strengthening supply security. The project is expected to support the country’s transition to cleaner energy, with the financing ensuring timely execution and reinforcing NESGAS’ position as a key driver of energy accessibility.
“This project is a major leap forward in our mission to strengthen Nigeria’s LPG value chain. Partnering with Cakasa ensures we have the expertise and financial backing to execute this ambitious development successfully,” said Tunde Banjo, Managing Director of NESGAS.
Barnabas Olise, Managing Director and CEO of Cakasa Nigeria Limited, expressed enthusiasm for the collaboration, emphasizing that the financing deal reaffirms Cakasa’s commitment to supporting Nigeria’s energy sector with world-class engineering and construction solutions.
Executive Director of Business Development at Cakasa, Celestine Cliffe, added that the facility will significantly enhance Nigeria’s LPG storage and distribution capacity, ensuring a more stable and sustainable energy supply for households and industries.
The Onne facility is expected to play a crucial role in stabilizing domestic LPG supply, reducing reliance on imports, and ultimately benefiting consumers and industries across the country.