Delta Investment Summit: Delta’s Gas Supply Safe Despite Iran-US Conflict, Says POWERGAS CEO

The Chief Executive Officer of POWERGAS Africa, Sumeet Singh, says the recent Iran-US conflict has not disrupted the company’s gas supply operations in Delta State and other parts of southern Nigeria, attributing the stability to long-term domestic gas supply arrangements.

Speaking during a panel session at the Delta State Economic and Investment Summit 2026, Singh said although global tensions have triggered fluctuations in diesel and petrol prices, POWERGAS Africa’s gas prices have remained stable because of its long-term supply agreements.

“Since February, we have all seen what has happened with the Iran war. Diesel prices have fluctuated significantly, and petrol prices have also increased. Our gas price, however, has not changed because we operate under long-term gas supply contracts with upstream producers and long-term agreements with our customers.”

According to him, the company’s pricing model has shielded customers from the impact of international market volatility while demonstrating the benefits of harnessing Nigeria’s domestic gas resources.

“Our customers are therefore not affected by events in Iran. We are using a domestic resource to support domestic production, domestic manufacturing, and ultimately to solve our own economic challenges.”

Singh disclosed that POWERGAS Africa established a Compressed Natural Gas (CNG) mother station at Ebedei, near Abraka in Delta State, about a decade ago in partnership with the state government and indigenous gas producers.

He said gas from the facility is now supplied across Delta State and the South-South and South-East regions through the company’s virtual pipeline network, providing reliable energy for factories and power generation.

According to Singh, at least 20 factories in Delta State currently receive gas through the network and generate their own electricity independently of the national grid, enabling uninterrupted operations despite transmission and distribution constraints.

He added that expanding access to gas for industries and transportation would lower production costs, improve business competitiveness and help reduce inflation.

Singh also called for stronger collaboration among states to unlock investment opportunities, noting that while some states face cassava shortages that have forced processing plants to shut down, Delta State has abundant cassava production capable of supporting agro-industrial investments.