MDGIF Launches OAU CNG Station, Backs 20 University Gas Transport Projects

The Midstream and Downstream Gas Infrastructure Fund (MDGIF) has commissioned an integrated Compressed Natural Gas (CNG) refuelling facility at Obafemi Awolowo University (OAU), Ile-Ife, in a move it described as part of Nigeria’s shift toward gas-powered transport.

Speaking at the event, MDGIF Executive Director Mr Oluwole Adama said the project goes beyond a single station and reflects a broader effort to expand domestic gas use, lower emissions, and support infrastructure that delivers economic value.

“This project represents more than the commissioning of a refuelling station,” Adama said. “It symbolises progress, partnership and purpose in advancing Nigeria’s energy transition, promoting cleaner fuels and deepening domestic gas utilisation in line with national energy objectives.”

He said MDGIF was established to drive investment in midstream and downstream gas infrastructure through equity partnerships with private investors and to support projects that improve gas access and environmental sustainability.

Adama said the OAU project is being delivered through an equity partnership with FEMADEC Energy Limited and forms part of MDGIF support for 20 CNG refuelling infrastructure projects in 20 federal universities.

OAU Vice-Chancellor Prof Adebayo Simeon Bamire said the project is expected to benefit both the university and nearby communities. He said it can expand practical learning and research opportunities in alternative fuels, strengthen town-gown ties, and support cleaner mobility.

Group Managing Director and Chief Executive Officer of FEMADEC Group, Engr Akinnola Fola, said the company remains committed to delivering safe, efficient and scalable CNG infrastructure across the country through public-private collaboration.

According to the stakeholders, the OAU facility is designed to cut transport costs and reduce pollution on campus by providing CNG buses and vehicle conversion services for students, workers and residents around the university.

The project is also linked to practical research and innovation in gas-powered transport systems, with expectations that it will support technical training and local adaptation of cleaner transport technologies.

At the event, support for cleaner mobility was also highlighted through separate donations. First Lady Senator Oluremi Tinubu donated 50 CNG-powered buses, while PiCNG donated 10 CNG-powered tricycles to improve affordable transportation for students and staff.

Officials said the combination of refuelling infrastructure, vehicle supply and conversion services is intended to accelerate adoption of cleaner fuels in institutional transport.

The commissioning signals growing policy and investment attention on CNG as Nigeria seeks lower-cost alternatives for mobility, reduced dependence on more expensive fuels, and broader participation of private capital in domestic gas infrastructure development.