The Minister of Steel Development, Prince Shuaibu Audu, has said that the Federal Government will establish a Compressed Natural Gas park at the Ajaokuta Steel Company in Kogi.

This was disclosed in a statement issued by his Special Assistant on Media, Lizzy Okoji, on Monday in Abuja.

According to News Agency of Nigeria, it reported that CNG is a fuel gas mainly composed of methane and primarily used as a substitute fuel for powering vehicles.

It is compressed to less than one per cent of the volume at standard atmospheric pressure.

They said President Bola Tinubu approved the establishment of the Presidential CNG Initiative (Pi-CNG) on Aug. 18, 2023, as part of his palliative intervention aimed at cushioning the difficulties faced by Nigerians due to the removal of fuel subsidy.

The initiative they said is aimed at revolutionising transportation by deploying over 11,500 new CNG-enabled vehicles and providing 55,000 conversion kits for existing PMS-dependent vehicles.

The minister in the statement said that the initiative was part of the President’s Renewed Hope Agenda in addressing the plight of Nigerians and also efforts toward the global surge in energy transition.

“This goes to demonstrate the commitment of the president to ease the plights of citizens as a result of the removal of fuel subsidies.

“And to join the rest of the world in transitioning towards green, sustainable, and cost-effective sources of energy.

“As stakeholders in P-CNGi, the Ministry of Steel Development also has plans for a proposed CNG park within the Ajaokuta Steel Company Ltd (ASCL) territories.

“The CNG Park to be located in ASCL will benefit from existing infrastructure, like the natural gas line from Warri to Ajaokuta, the Metallurgical Training Centre.

“The engineering workshops, and the 10,000 housing estates in Ajaokuta environs, among other amenities,” he said.

Audu also commended the Nigerian Army for inaugurating CNG vehicles for its operations under the Auto Switch Kick-off Pilot Programme, powered by the P-CNGi.

He urged other organisations to adopt the technology for its cost-effectiveness and for promoting a sustainable, healthy environment.

It was earlier reported that the minister had said in February that the ministry would launch a three-year road map that entails the reviving of 44 different production units of the steel company in piecemeal through its concession to investors.