Nigeria gas output hits 7.5bcf/d, targets 12bcf/d by 2030

Nigeria’s ambition to reposition natural gas as the backbone of its energy transition is gathering pace, with production climbing from 6.8 billion cubic feet per day (bcf/d) in 2023 to 7.5 bcf/d in 2025, signalling renewed momentum in the sector.

The Coordinating Director of the Decade of Gas Secretariat, Ed Ubong, disclosed this on Monday in Abuja, projecting that output could reach 12 bcf/d by 2030 if current reforms and investment flows are sustained.

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Ubong spoke at the Decade of Gas and World Bank Ministerial Roundtable and workshop, where policymakers, regulators, investors, and development partners convened to outline strategies for scaling gas development across Nigeria and the broader African market.

He attributed the recent uptick in production to improved coordination across the energy value chain. According to him, stronger collaboration among government institutions, regulators, and private sector players has been instrumental in unlocking incremental supply.

“We have seen gas production rise from about 6.8 billion cubic feet per day in 2023 to about 7.5 billion cubic feet per day in 2025. This progress is largely driven by stronger collaboration among stakeholders,” he said.

Ambitious 2030 target

Setting a forward-looking tone, Ubong said Nigeria is targeting up to 12 bcf/d of gas supply by 2030 an ambition that hinges on sustained reforms, cross-border partnerships, and capital mobilisation.

“Africa’s energy future depends on our ability to work together across borders, institutions, and value chains to achieve shared prosperity,” he noted.

The Decade of Gas initiative, launched in 2021 and scheduled to run through 2030, is central to this strategy. It aims to unlock Nigeria’s vast gas reserves—estimated at over 200 trillion cubic feet and reposition the resource as a key driver of industrialisation, energy security, and economic growth.

To accelerate implementation, the government established a dedicated secretariat in 2023 tasked with stimulating demand, expanding infrastructure, improving pricing frameworks, and building technical capacity across the sector.

Ubong revealed that more than 215 gas demand projects are currently being tracked via a centralised database to enhance planning, execution, and accountability.

Domestic priorities: power and LPG expansion

A major focus of Nigeria’s gas strategy is boosting domestic utilisation, particularly in power generation and household energy consumption.

Ubong identified gas-to-power as critical to addressing Nigeria’s chronic electricity shortages, while also highlighting plans to deepen liquefied petroleum gas (LPG) adoption to reduce reliance on firewood and charcoal.

Nigeria aims to increase LPG consumption from 1.8 million tonnes per annum to 3 million tonnes by 2030, supported by the distribution of over five million gas cylinders nationwide a move expected to improve public health outcomes and reduce environmental degradation.

Investment signals and infrastructure gap

On the supply side, Ubong noted that several upstream operators have taken Final Investment Decisions (FIDs) on key gas projects, reflecting improving investor confidence in the sector.

However, infrastructure remains a major bottleneck. The country has identified 16 priority pipeline projects requiring an estimated $22bn in funding.

“To deliver these projects, we need robust public-private partnerships and strong support from development partners,” he said, underscoring the role of institutions like the World Bank in bridging financing gaps.

Regional ambitions take shape

Nigeria is also positioning itself as a hub for a regional gas market, with plans to integrate supply networks across Africa.

Ubong stressed the need for pipeline systems that support bidirectional flow to enhance flexibility and reliability, citing initiatives such as the African Atlantic Gas Pipeline as critical to linking markets.

Also speaking, the Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Aliyu Mohammed, said the next phase of the Decade of Gas initiative will shift from planning to execution.

“The second half of the initiative must be driven by increased gas production, greater investment inflows, expanded pipeline networks, and the commissioning of new processing facilities,” he said.

Mohammed outlined three strategic export corridors: the African Atlantic Gas Pipeline, the Trans-Sahara Gas Pipeline, and coastal LNG infrastructure along the Gulf of Guinea.

He emphasised that unlocking these opportunities would require harmonised regulatory frameworks, credible demand data, and sustainable financing models, alongside firm supply agreements to support cross-border trade.

Balancing ambition with constraints

Despite its vast reserves, Nigeria has historically underutilised its gas resources due to infrastructure deficits, pricing challenges, and weak domestic demand.

While recent gains point to progress, significant hurdles remain. Chronic power shortages persist, making gas-to-power investments critical to the country’s broader economic agenda.

Analysts say sustained policy consistency, improved regulatory clarity, and deeper regional cooperation will be essential to translating Nigeria’s gas ambitions into tangible economic outcomes.

If successfully executed, the Decade of Gas initiative could not only transform Nigeria’s energy landscape but also position the country as a key supplier in Africa’s emerging gas market.