AP LPG terminal, a subsidiary of Ardova PLC, has commenced the construction of a 20,000 metric tonne Liquified Petroleum Gas (LPG) storage terminal in Lagos as part of the moves to boost consumption of the product in the country
The construction of the facility will be concluded next month
The company hinted that the project will be the largest LPG storage facility in the nation and will ease some of the existing bottlenecks in the value chain for the supply of cleaner and more efficient energy for domestic use (cooking gas) in Nigeria, amongst other strategic benefits.
Speaking,Group CEO, Ardova, Olumide Adeosun, commended Stanbic IBTC Infrastructure Fund for its commitment to the project,stressing that the import of having formidable partners for project development, planning, execution, and investment support cannot be over-emphasised.
He said:“We are pleased to have the support of the Stanbic IBTC Infrastructure Fund for its pioneering role in a transformational project within the LPG value chain, which will undoubtedly accelerate the various energy transition initiatives currently underway at Ardova
“This support has helped us commence construction of this 20,000 metric tonne LPG storage terminal, which is expected to bring efficiency and reliability of LPG supply to Nigerian consumers as well as create long term value for our shareholders.Beyond the cleaner energy premise, approximately 600 direct jobs will be created during the construction of the project and there is a multiplier effect of about additional 1,400 indirect jobs that will be created during the construction period after which it settles to about 250 to 300 jobs once the project becomes operational.”
Also speaking, the chief executive, Stanbic IBTC Asset Management, Oladele Sotubo,disclosed that across the globe, cleaner energy investments have continued to be the focus.
He said:”Given the environmental sustainability benefits of this project, Stanbic IBTC Infrastructure Fund’s investment philosophy is properly aligned, hence the support for the 20,000 metric tonnes Liquified Petroleum Gas (LPG) storage facility terminal.”
Sotubo commended Ardova for partnering with Stanbic IBTC Infrastructure Fund, commending all the Tranche one investors, including institutional investors and other High Networth Individuals (HNIs), for the confidence reposed in the fund.
He revealed the impact of his company’s investment in terms of solving some of Nigeria’s infrastructure bottlenecks, creating jobs while earning returns.
He added:”As an organisation, we remain committed to bridging Nigeria’s infrastructure deficit through the provision of investment capital needed to develop projects.Stanbic IBTC Infrastructure Fund remains committed to funding infrastructure projects with competitive return profiles, sustainable environmental practices, and the potential to positively impact the economy”
