Projects

OVERVIEW

The Project Chimney 2.0 CNG Plant is a cutting-edge, state-of-the-art project currently under development in Sapele, Delta State, Nigeria. This facility will boast a daily capacity of 283,000 m³ (10 MMSCF/day) of pipeline gas, effectively enhancing the local and national gas infrastructure. The plant represents a significant step in the early monetisation of Nigeria’s abundant natural gas resources, aligning with the country’s broader energy strategy and contributing to the growing demand for cleaner and more sustainable fuel options.
The Project Chimney 2.0 CNG Plant will serve as a key player in Nigeria’s gas sector, driving forward both IPP (Independent Power Producers), industrial and HGV (Heavy Goods Vehicles) access to compressed natural gas (CNG), while supporting national energy goals. This groundbreaking project is set to be commissioned by Q2 2026, with an expected operational workforce of 60 skilled professionals across various functions.

Project Area & Facilities

The Project Chimney 2.0 CNG Plant will occupy a sprawling 8,900m² area; strategically designed by a team of experienced architects, engineering consultants, civil & structural works contractors and led an “Integration Engineering” Team from KAVIN Engineering Services, to incorporate key operational and residential facilities. The plant layout has been meticulously planned to ensure smooth operations and the safety of all personnel.

Key facilities include:
• Trailer Park: A dedicated space for the safe storage and maintenance of CNG transport trailers, ensuring uninterrupted supply to off-takers.
• Safety Building: Equipped with the latest safety equipment and systems, this facility will ensure the highest safety standards for both the plant and the surrounding community.
• Office Building: The administrative heart of the Project Chimney CNG Plant, housing essential management and operational staff to oversee the daily functions of the plant.
• Residential Building: Designed to accommodate plant personnel, ensuring that there is always a team on hand for maintenance and operational tasks.
All these facilities are designed to uphold efficiency, safety, and comfort for those who will work and live on-site, ensuring the plant’s smooth and sustainable operation.

Anchor IPP CNG Offtakers

The Project Chimney 2.0 CNG Plant will cater to two reputable anchor Independent Power Producers (IPP) CNG offtakers, each representing a major step in Nigeria’s ongoing efforts to transition to cleaner energy alternatives. These partnerships are integral to the plant’s success, providing a stable demand for CNG while contributing to the energy security of the region.
These IPPs will utilise the CNG supply to fuel their power plants, reducing reliance on more environmentally harmful fuel sources and supporting Nigeria’s drive toward a more sustainable energy mix. The relationship between the Project Chimney 2.0 CNG Plant and these IPPs is expected to evolve over time, providing long-term growth potential and further supporting the country’s energy transformation.

Staffing & Operations

Upon commissioning, the Project Chimney 2.0 CNG Plant will employ a dedicated workforce of 60 personnel, ranging from technical experts to administrative support staff. The team will be responsible for overseeing plant operations, ensuring that all systems run efficiently and in line with safety protocols. Ongoing training programs will be integral to maintaining a highly skilled workforce, with a focus on both local talent development and international best practices.
The plant will be equipped with cutting-edge technologies to ensure the highest standards of efficiency and safety. This includes automated systems for gas compression, storage, and transportation, which will be continuously monitored by the operations team to guarantee safe and consistent gas delivery.

Sustainability & Impact

The Project Chimney 2.0 CNG Plant is designed with sustainability in mind, contributing to cleaner energy solutions for the region. By providing compressed natural gas as a viable alternative to traditional fuels, the plant will help reduce emissions and support the transition to greener energy sources. Furthermore, the project is set to create jobs, stimulate the local economy, and enhance the overall quality of life in Sapele and surrounding communities.
This CNG plant will also pave the way for future projects in the region, showcasing the potential of early-stage gas monetisation and demonstrating how natural gas can be harnessed to meet Nigeria’s growing energy demands in a sustainable manner.

Conclusion

eXgas’s Project Chimney 2.0 CNG Plant is poised to be a landmark project in Nigeria’s energy landscape, combining advanced Galileo CNG Microbox technology with strategic partnerships to deliver compressed natural gas to independent power producers, industrial customers and heavy goods vehicle fleet owners. With a robust facility design, committed workforce, and long-term vision, the Project Chimney 2.0 CNG Plant will be a cornerstone of Nigeria’s energy future, ensuring reliable, cleaner, and more sustainable energy access for years to come.