Ardova Targets 100 CNG Stations in Nigeria Within 2 Years Through Powergas Acquisition

Ardova Plc is set to expand its presence in Nigeria's growing gas market through the acquisition of Powergas Global Investments Nigeria Limited and Powergas Ebedei Limited. The energy company plans to use the acquired infrastructure as the foundation for a significant expansion of its natural gas business, with a target of establishing 100 CNG refuelling locations across Nigeria within 24 months.

The proposed acquisition is led by Ardova in partnership with Diadem Energy Services Limited and is subject to regulatory approvals. The transaction will combine Ardova's existing retail network with Powergas's gas sourcing, compression, and distribution infrastructure, enabling the company to supply CNG to motorists, commercial fleets, and industrial consumers.

Ardova already operates an extensive downstream distribution business covering petroleum products and LPG, giving it existing locations, customers, and logistics capabilities that can be combined with Powergas's natural gas operations. The company intends to integrate CNG refuelling infrastructure into its existing retail network and leverage the acquired infrastructure to expand compression capacity along gas-producing corridors.

The acquisition also gives Ardova access to infrastructure further up the gas supply chain, including gas-processing and compression facilities in Delta State. Under the strategy, Ardova could serve as an offtaker for producers seeking markets for associated and other gas resources, creating commercial opportunities around gas that might otherwise be flared.