Shell Nigeria Gas (SNG) has said the expansion of gas distribution infrastructure and the strengthening of market-making roles by gas distributors remain central to transforming Nigeria’s vast gas resources into a viable driver of industrial growth.

The company said sustained investments in pipeline networks over the past decades have helped shift gas from a policy aspiration into a practical energy solution for industries across the country.

Speaking at a panel session on “Building a Bankable Gas Distribution Ecosystem: Infrastructure, Capital and Market Demand” at the second business forum of the Association of Local Distributors of Gas (ALDG) in Abuja, Managing  Director of SNG, Ralph Gbobo, said the company’s early experience in Nigeria’s gas distribution space demonstrated the importance of long-term industrial vision and infrastructure commitment.

Gbobo, who was represented by Head of Gas Distribution, Chukwuka Amos-Ejesi, recalled the company’s early operations in the Agbara–Ota industrial corridor, noting that initial market conditions were uncertain but strategically important for future growth.

“When SNG started in Agbara–Ota over 20 years ago, demand was nowhere near what it is today. The economics was not perfect, but there was a leap of faith anchored on Nigeria’s industrialisation trajectory. That decision has proven right,” he said.

He explained that the evolution of gas demand in Nigeria has reinforced the importance of aligning infrastructure development with industrial expansion, noting that market confidence improves as utilisation deepens.

He said SNG’s experience showed that when demand ambition, supply certainty, enabling infrastructure, and commercial clarity come together, even if not perfectly at the start, they create industrial clusters capable of attracting long-term investment.

“Sustainability and bankability emerge over time, as utilisation deepens and confidence builds,” he pointed out.

The forum, themed ‘From Gas Abundance to Gas Access: Reassessing Nigeria’s Gas Distribution Imperatives’, brought together industry stakeholders to examine pathways to improve domestic gas access and accelerate industrialisation through energy transition strategies.

Participants emphasised the need for clear, supportive, and credible policy frameworks to enhance gas utilisation and attract capital into the sector.

Gbobo noted that recent policy reforms had played a major role in strengthening investor confidence and reducing uncertainty in the domestic gas market.