By Onu Okorie
The Midstream and Downstream Gas Infrastructure Fund MDGIF has signed a Memorum of Understanding MoU with 10 Equity partner towards unlocking the full potential of Nigeria’s gas sector.
Speaking during the signing ceremony in Abuja yesterday, the Minister of Petroleum Resources Gas and Chairman, Midstream and Downstream Gas Infrastructure Fund Rt. Hon. Ekperikpe Ekpo said that the landmark MoU between the Midstream and Downstream Gas Infrastructure Fund and 10 equity partners is a resounding affirmation of the visionary leadership and unwavering commitment of President Bola Ahmed Tinubu – towards unlocking the full potential of Nigeria’s gas sector.
According to him, “this signing ceremony reflects not only the alignment of national priorities with practical action but also the profound dedication to fostering growth, enhancing energy security, and building a resilient economy for generations to come.
“Through strategic partnerships and robust investment frameworks like the Midstream and Downstream Gas Infrastructure Fund, the administration underscores its resolve to place Nigeria at the forefront of global energy transition efforts.”
He also revealed that under the leadership of President Bola Ahmed Tinubu the MDGIF has become a significant force in Nigeria’s energy sector.
“In the first year of this administration, the MDGIF supported six companies within the midstream and downstream space, promoting innovation and efficiency in the processing, distribution, and utilization of natural gas.
“On the second anniversary of this administration, an additional ten companies have been empowered. These initiatives have been strategically carried out across Nigeria’s six geo-political zones, ensuring equitable development and access to the nation’s abundant gas resources.”
“His declaration of this era as the Decade of Gas is not just a policy statement, but a national call to action, to leverage our abundant natural gas resources to drive industrial growth, energy security, and sustainable economic development.”
“The MDGIF, under my chairmanship, was established to catalyse investment and close the critical infrastructure gaps across Nigeria’s gas value chain. With the onboarding of these ten additional equity partners, we are injecting this vehicle with the fuel it needs — confidence, capital, and strategic collaboration.”
“As we celebrate this milestone, it is imperative to emphasize the significance of focus, efficiency, and transparency. The citizens of Nigeria are observing and relying on us to deliver results. I urge all partners to ensure that projects are completed promptly, adhering to the highest standards of professionalism, and in a transparent and accountable manner. We must act decisively and avoid the traps of sluggishness. This situation demands an approach that is far from business-as-usual.”
“This Fund, and the partnerships it fosters, will pave the way for integrated gas infrastructure, bridging gaps that have long hindered progress. These advancements will not only connect regions but also create a ripple effect of opportunities across industries. From agriculture to manufacturing, and even digital innovation, the impact of a robust gas sector reverberates far beyond energy.”
“We are at a pivotal juncture, where every decision and every effort counts toward a shared national goal. Let us channel our collective expertise and determination to set benchmarks that inspire confidence and pride, not just within Nigeria but on a global scale. Each pipeline laid and facility inaugurated becomes a testament to our resolve and ingenuity.”
He stated.
Also speaking during the occasion the Executive Director, Midstream and Downstream Gas infrastructure fund Mr Oluwale Adama said that the MDGIF and co-venturers are expected to reap significant benefits from these partnerships, such as access to capital for development, shared resources, risk mitigation, enhanced market positions, operational efficiency, and long-term sustainability are some of the benefits.
To ensure secure and harmonious relationships, three agreements, are to be signed by the MDGIF and each investment partnership.
The agreements are: the “Joint Venture and Operating Agreement; the Joint Venture Equity Agreement”, and the Joint Venture Accounts Agreement.
The joint venture and operating agreements JVOA seek to provide operational frameworks that minimize risks, enhance operational efficiency and maximize potential for successful project outcomes.
The joint venture equity agreements JVEA aim to ensure fair profit- sharing, promote effective governance, and establish capital contributions and risks allocations.
While, the joint venture accounts agreement JVAA outlines financial management provisions, and provides for transparency, financial oversight, and reporting requirements.
Each partnership agreement has its unique features to ensure alignment with project scope, implementation strategy and funding mechanism.
This event goes beyond the mere act of signing documents. It establishes our commitment, fostering relationships, and promoting transparency and trust among stakeholders by setting a positive tone for collaboration, which the MDGIF cherishes.
