Uche Cecil Izuora
Steel producer SG Industrial FZE has entered into signed a natural gas supply agreement with Shoreline Natural Gas, a Nigerian natural gas distributor.
The agreement aims to supply gas to the company’s industrial facilities and support its production operations.
The contract covers the delivery of natural gas by Shoreline Natural Gas to SG Industrial FZE’s industrial site. The parties disclosed no financial data on contract volumes, contract duration, or transaction value.
“This contract marks an important step in securing a reliable energy source that will support our growth ambitions and ensure the continuity of our industrial operations,”said Moya Shua, deputy managing director of SG Industrial FZE, during the signing ceremony.
“This agreement reflects our commitment to building and operating a resilient and transparent gas distribution system to support industrial energy needs and contribute to economic development,” said Ralph Gbobo, chief executive officer of Shoreline Natural Gas, according to local media. Shoreline Natural Gas said it will deliver the gas through its existing transportation and distribution infrastructure.
This agreement does not represent SG Industrial FZE’s first step to secure gas supply. In December 2025, Shell Nigeria Gas Limited announced a natural gas supply agreement with the steel producer.
The agreement covered gas supply to facilities located in the Ogun Guangdong Free Trade Zone in Ogun State. Shell Nigeria Gas presented the deal as an expansion of its industrial customer portfolio. The parties disclosed no public data on contract volumes or duration.
According to figures published by the International Energy Agency in 2023, Nigeria’s industrial sector accounted for about 63.8 per cent of final natural gas consumption. This share ranked industry as the country’s largest gas-consuming sector.
Nigerian has also highlighted the central role of industry in domestic gas usage. The Nigerian National Petroleum Company Limited (NNPCL) classified industrial customers among the main end users of natural gas, alongside the power sector.
Nigeria Gas Company, which handles gas transportation, said its infrastructure delivers gas to both power plants and industrial users nationwide.
The company explicitly identified manufacturing industries, including metal processing and steelmaking, among the segments served by the domestic gas market.