Ardova-led group eyes Powergas acquisition, targets 100 CNG sites
The Nigerian fuel retailer and Diadem Energy will take full ownership of the CNG producer from A.P. Moller Capital, with completion expected around the end of 2026.
A consortium led by Nigerian energy company Ardova Plc and Diadem Energy has agreed to acquire 100% of Powergas, one of Africa’s largest compressed natural gas (CNG) producers and virtual pipeline distributors.
The deal was signed with A.P. Moller Capital, acting through its Africa Infrastructure Fund I and Impala Energy Holdings. It covers Powergas Global Investments Nigeria Limited and Powergas Ebedei Limited, and its financial terms were not disclosed.
Ardova, which runs a nationwide business in fuel retail, LPG and logistics, plans to bring CNG to its station network. It aims to open 100 CNG refueling sites across Nigeria within 24 months and to extend the platform into West Africa over time.
The Clean Energy Group founded Powergas in 2013. Its Ebedei project, whose compression plant was commissioned in 2021, captures gas that would otherwise be flared and turns it into usable energy. The company supplies industrial and commercial customers in Nigeria’s South-East, South-South and South-West, and many of them use its gas instead of diesel generators. Diadem had previously worked with Powergas as its virtual pipeline logistics partner.
“Nigeria’s next era of energy development will be built on gas, and it will be built at scale,” said AbdulWasiu Sowami, Executive Chairman of Ardova. He added: “Powergas has built the compression backbone required to take natural gas beyond the conventional pipeline grid.”
The deal is expected to close around the end of 2026, subject to regulatory and other third-party approvals.
