Pecohub The Federal Government is taking decisive steps to harness Nigeria’s vast gas wealth after the African Export-Import Bank and the Midstream and Downstream Gas Infrastructure Fund signed a landmark memorandum of understanding to mobilise up to $500m for critical gas infrastructure projects.
The agreement, announced in a statement from Cedrus Group Africa on Saturday, was signed on the sidelines of the Intra-African Trade Fair in Cairo and facilitated by Cedrus Group Africa.
Afreximbank’s Helen Brume and MDGIF’s Oluwole Adama signed on behalf of their respective institutions.
The deal sets out a plan to raise funds over four years to support midstream and downstream projects. Afreximbank will also provide credit risk guarantees to encourage investment in local gas development. Both institutions will establish a project preparatory facility and capacity-building programmes to strengthen technical expertise and ensure bankable projects reach financial close.
Nigeria’s Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, hailed the initiative as a major boost for the country’s energy ambitions. “Through this partnership, we are unlocking the potential to mobilise up to $500m over the next four years for Nigeria’s gas infrastructure,” he said.
