Apex African Gas Expands Capacity to 110 Tons Daily with N10 Billion Lagos Plant Investment

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Apex African Gas Nigeria Limited has taken a major step in strengthening Nigeria’s industrial gas sector with the commissioning of a new 70-ton-per-day Air Separation Unit plant in Satellite Town, Lagos. The facility, valued at more than N10 billion, raises the company’s total production capacity to 110 tons per day, positioning it among the country’s largest domestic producers of industrial gases. The development is expected to improve the availability of oxygen, nitrogen, argon, and specialty gases for key sectors including healthcare, manufacturing, food processing, construction, and energy.

Speaking during the commissioning ceremony held on June 25, 2026, the company’s General Manager, Charles Allam, revealed that the investment began about three years ago before the naira’s devaluation significantly increased project costs. According to him, the original investment exceeded N10 billion and would be worth considerably more in today’s economic environment. He noted that the company remains committed to further investments as it continues to expand its operations and support Nigeria’s growing industrial needs.

Chief Executive Officer Khodor Ahmad Fawaz described the project as a strategic move driven by foresight rather than immediate demand. He explained that Apex African Gas chose to invest ahead of market needs to ensure industries and healthcare providers would have reliable access to critical gases as demand rises. According to Fawaz, years of planning and difficult business decisions culminated in a facility designed to provide dependable support for sectors that are essential to the nation’s economic growth and public health.

The company’s leadership emphasized that its confidence in Nigeria’s long-term economic prospects played a key role in the investment decision. Having operated in the country for more than two decades, Apex African Gas believes domestic production capacity is crucial to supporting industrial expansion and reducing dependence on imports. By increasing output to 110 tons daily, the company expects to improve supply reliability for manufacturers while ensuring healthcare facilities have consistent access to medical oxygen and other essential gases.

The commissioning attracted prominent stakeholders from both the public and private sectors, including Senator Tokunbo Abiru, Lagos State Commissioner for Environment and Water Resources Tokunbo Wahab, and representatives from the Nigerian Navy Medical Service and Lagos State Ministry of Health. Senator Abiru praised the investment as a symbol of innovation, enterprise, and confidence in Nigeria’s future. The launch also comes at a time when Nigeria’s gas industry is experiencing strong growth, with gas export earnings reaching $2.53 billion in the first quarter of 2026, highlighting the sector’s increasing contribution to economic diversification and foreign exchange earnings.

source: nairametrics 

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