MDGIF leverages N671 billion public funds to attract N1.6 trillion private gas investment

The Midstream and Downstream Gas Infrastructure Fund (MDGIF) has utilized N671 billion in public funds to entice N1.6 trillion in private capital for gas infrastructure ventures across Nigeria. Oluwole Adama, MDGIF's Executive Director, revealed this during the 2026 Annual Conference of the Association of Energy Correspondents Abuja (AECAF) in Abuja.

Adama, speaking on "Derisking Domestic Gas Infrastructure," stated that the fund has supported 31 projects encompassing 205 infrastructure assets nationwide. Upon completion, these projects will generate approximately 475 million standard cubic feet (mmscf) of gas daily for the domestic market, addressing financing and infrastructure obstacles that have hindered investment in the midstream gas sector.

The MDGIF, established to foster investment in Nigeria's midstream and downstream gas infrastructure and bolster the domestic gas market, is also backing projects to commercialize flare gas and broaden gas distribution networks. Adama announced that MDGIF has partnered with four flare-out awardees, whose initiatives are projected to monetize 444 million mmscf of gas daily.

Additionally, 75 CNG daughter stations are being financed via an equipment leasing deal. The fund's flagship project is a five million mmscf per day mini-LNG plant in Delta State, developed by Topline Ltd., which encountered financing hurdles for three years before MDGIF's equity investment helped secure an InfraCredit guarantee.

The long-term goal of the MDGIF is to alleviate early-stage risks linked with gas projects and enhance their bankability. Previous MDGIF actions include supporting approximately 200 gas infrastructure projects across the nation, with Nairametrics reporting about N430 billion committed to gas infrastructure by the fund in May 2026.