Shell Plc has announced its final investment decision to construct a gas supply facility in Nigeria aimed at supporting a fertilizer plant owned by Africa’s wealthiest individual, Aliko Dangote.

According to the company's statement, the new facility is set to provide 100 million standard cubic feet of gas per day from the Iseni field to the Dangote Fertiliser and Petrochemical plant for a duration of 10 years.

This agreement involves Shell, along with its joint venture partners TotalEnergies, Eni, and the state oil firm NNPC Ltd.

The construction of this facility, valued at US$2.5 billion, marks Africa’s largest urea complex with an annual output of 3 million tonnes.

It is anticipated to fulfill 65% of Nigeria’s fertilizer requirements and is poised to cater to all major markets within the sub-region.

“The agreement is a critical step in pursuing the development of the gas-rich Iseni field, which is part of the Okpokunou Cluster in Oil Mining Lease 35” in the oil-rich Bayelsa state, Shell’s Nigeria chief, Osagie Okunbor, said in an email.

Nigeria, with Africa's largest gas reserves exceeding 200 trillion cubic feet, aims to harness these resources to enhance supply to industries, power plants, and for export purposes, stated Okunbor.

He emphasized that the project will significantly elevate gas delivery to the domestic market and spur economic growth.