Nigeria: CNG, Dangote invests $280m in conversion, others

The Dangote Group says it has invested over $280m in Compressed Natural Gas technology and infrastructure, saying it is in demonstration of its support for President Bola Tinubu’s CNG initiative.

In a statement on Sunday, the company said its $280m investment not only solidifies its leadership in the CNG sector but also reflects its dedication to mitigating climate change and supporting a transition to a low-carbon economy.

Tinubu has adopted gas as Nigeria’s transition fuel, maintaining his administration’s drive to create a conducive environment for private sector investments and expanding Nigeria’s CNG infrastructure to enhance energy efficiency and drive economic growth.

As part of this initiative, he ordered the distribution of one million free CNG conversion kits for commercial vehicles involved in transporting people, food, and goods.

On its part, the Dangote Cement said it has keyed into the initiative to ensure its trucks are CNG-powered.

Group Managing Director of Dangote Cement Plc, Arvind Pathak, said the $280m investment is aimed at acquiring 100 per cent CNG trucks as part of a long-term plan to transition its entire fleet to CNG.

“This move marks a significant milestone in Dangote’s clean energy transition, to operate most of its fleet on CNG by mid-2026. As of October, the company has received its first batch of 1,500 mono-fuel CNG trucks while expecting an additional 1,600 CNG trucks; totalling 3,100 before the end of the year.

By mid-2026, Dangote Cement aims to operate a fleet predominantly powered by CNG. To facilitate this transformation, we are investing in expanding our CNG fuelling infrastructure, ensuring that our growing fleet has reliable access to CNG as our fuel,” Pathak stated. READ MORE.