NIPCO expands retail, gas infrastructure, targets growth in deregulated market

NIPCO Plc has reaffirmed its position as a leading player in Nigeria’s downstream petroleum sector, outlining plans to expand its retail network and gas infrastructure as it positions for sustained growth in the deregulated market.

Speaking at the company’s 22nd Annual General Meeting (AGM) held at the Abuja Continental Hotel, the Managing Director, Mr. Suresh Kumar, said the company successfully navigated the challenges of 2025, a year characterised by full deregulation of the downstream sector, market-based petrol pricing and the commencement of operations at the Dangote Refinery.

Kumar noted that while deregulation brought increased competition, tighter margins and supply chain uncertainties, it also created opportunities for greater efficiency, transparency and innovation.

“Despite stiff competition and unpredictable market dynamics, we maintained our position as one of the leading downstream operators, reinforcing our reputation for reliability and delivery of superior service,” he said.

He disclosed that the company expanded its retail footprint during the year, with its White Oil Division increasing its branded service station network to more than 400 outlets nationwide for the sale of petrol and diesel, while additional stations are at various stages of development.

According to him, the expansion has improved product availability along major economic corridors and strengthened the company’s presence in both urban and semi-urban communities.

Kumar also highlighted strong performance by the Liquefied Petroleum Gas (LPG) Division, which operates a combined storage capacity of 19,500 metric tonnes and 10 loading bays with the capacity to dispatch more than 4,000 tonnes daily to households and businesses across the country.

In the compressed natural gas (CNG) segment, he said NIPCO Gas Limited has consolidated its leadership with 25 Auto CNG stations nationwide and the conversion of more than 8,000 vehicles to run on CNG.

He added that the company is constructing an additional 20 CNG stations and, in partnership with NNPC Gas Marketing Limited under the Presidential CNG Initiative, plans to deploy 35 more stations capable of serving over 200,000 vehicles daily.

Kumar further disclosed that NIPCO holds 25-year exclusive Gas Distribution Licences for Ibadan, Benin City and the Lekki Free Trade Zone, positioning the company for long-term infrastructure-driven growth.

He said the company’s investment in LPG and CNG aligns with the Federal Government’s Decade of Gas initiative and is helping to reduce consumers’ dependence on petrol while promoting cleaner energy and lower emissions.

Looking ahead, Kumar said NIPCO would continue investing in technology to optimise its supply chain, improve customer experience and strengthen operational efficiency.

“Our focus is to build resilient systems that guarantee product availability, competitive pricing and safety standards across all our business lines,” he said, expressing confidence that the company is well positioned to sustain growth in Nigeria’s deregulated downstream petroleum market.