Apex African Gas Nigeria Limited has commissioned a new N10 billion industrial gas production facility in Lagos, significantly expanding its manufacturing capacity as demand rises across Nigeria’s healthcare, manufacturing and energy sectors.
The newly unveiled 70-tonnes-per-day Air Separation Unit (ASU) plant, located in the Satellite Town industrial hub, represents one of the company’s largest capital investments to date. The project increases Apex African Gas’ total production capacity from 40 tonnes per day to 110 tonnes daily, reinforcing its position among Nigeria’s leading indigenous industrial gas manufacturers.
Air Separation Units are specialised plants that separate atmospheric air into its primary components, oxygen, nitrogen and argon. These gases are essential raw materials used in hospitals, food processing, steel production, welding, chemical manufacturing and oil and gas operations.
The expansion comes at a time when Nigeria’s industrial sector is experiencing growing demand for locally produced industrial gases amid efforts to strengthen domestic manufacturing and reduce reliance on imported products. Industry analysts say increasing local production capacity could improve supply reliability while helping to moderate price volatility caused by foreign exchange pressures and import costs.
According to the company, the additional capacity will substantially increase the availability of oxygen, nitrogen and argon for customers nationwide. Improved domestic supply is expected to benefit healthcare providers that depend on medical-grade oxygen, manufacturers requiring nitrogen for production processes, and energy companies involved in exploration and refining activities.
Beyond meeting immediate market demand, the investment reflects growing confidence in Nigeria’s industrial economy despite persistent macroeconomic challenges. Expanding local manufacturing capabilities also aligns with broader efforts to deepen value addition within the country’s industrial supply chain and reduce dependence on imported industrial inputs.
The commissioning of the new facility is expected to strengthen Apex African Gas’ competitive position as industries increasingly prioritise reliable local suppliers capable of delivering consistent product quality and uninterrupted supply.
Market observers note that investments in industrial infrastructure such as air separation plants could play a vital role in supporting Nigeria’s long-term industrialisation agenda. As manufacturing activity expands and healthcare infrastructure continues to develop, sustained investment in critical industrial gases will remain essential for economic growth, improved productivity and enhanced national self-sufficiency.
With its latest expansion, Apex African Gas is positioning itself to capture growing market opportunities while contributing to Nigeria’s ambition of building a more resilient and self-reliant industrial base.
