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MDGIF Investment Policy Statement

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Applicable to:            MDGIF Project Promoters  
Equity Partners 
MDGIF INVESTMENT POLICY STATEMENT (MIPS) 
 
Code: MDGIF Guide 1001 - 2024 
 
Effective Date: 17th May 2024 
 
 
This document is a property of the Midstream and Downstream Gas Infrastructure Fund. All rights reserved. 
12 
3 GENERAL POLICY AND OBJECTIVES 
Investment under MDGIF shall be guided by the following general policy and objectives. 
3.1 
Purpose of the MDGIF 
In accordance with the Act, the MDGIF shall make equity investments of government-owned 
participating or shareholder interests in infrastructure related to midstream and downstream 
gas operations that are aimed at: 
i. 
Increasing the domestic consumption of natural gas in Nigeria in projects which are 
financed in part by private investment; 
ii. 
encouraging private investment through risk sharing by participating initially in 
selected high-risk projects;  
iii. 
such other equity investments with private entities that encourage investments in 
midstream and downstream gas infrastructure; and 
iv. 
encourage project development that would reduce or eliminate gas flare. The gas 
flare-out project developed for such a purpose would bring relief to the host 
communities.  
3.2 
Investment Philosophy of the MDGIF 
a. The primary objective of the MIPS is to promptly and effectively provide funds for equity 
investments in infrastructure related to midstream and downstream gas operations; which 
are proven to be viable and aligned with the purpose of the Fund.  
b. In order to do so, the Fund must: 
i. 
accumulate and maintain financial reserves necessary to fulfil this obligation. 
ii. 
invest prudently in projects that fit its purpose pursuant to the Act. 
iii. 
prioritise impact in deepening domestic gas utilisation and consumption in the 
country, and 
iv. 
follow clear operating guidelines and delegation of authority pursuant to the Act. 
3.3 
Investment Objectives of MDGIF 
a. In order to ensure an effective and sustainable implementation of the purpose of the 
Fund pursuant to the Act, the investment objectives of the MDGIF as documented in 
this MIPS shall be as follows: