Nigeria has signed a US$1.2 billion deal with Chinese state-owned China National Chemical Engineering Corporation (CNCEC) to revive a gas plant needed by the aluminum industry.

The agreement was signed by CNCEC and BFI Group, a major investor in the Aluminum Smelting Company of Nigeria (ALSCON). The facility has been shut down for years due to legal and financial difficulties. The project will transform the gas plant, which has a capacity of 135 million standard cubic feet per day (MMscfd).

Once operational, the plant is expected to produce approximately 1 million tons of aluminum per year and generate 540 megawatts of electricity. The new agreement aims to unlock economic benefits, promote self-reliance, and meet global demand for aluminum while promoting the use of sustainable energy in Nigeria's industrial sector.