What Land Size Do You Need to Start an LPG Plant in Nigeria?
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If you’re planning to start a cooking gas (LPG) business in Nigeria, one of the first questions to ask is:
“How much land do I need to build my gas plant?”
The good news is - you don’t need a large space to begin. With the right design and approval, you can start your LPG business on just one plot of land.
Minimum Land Size Requirement
The minimum land size required to set up a standard LPG plant in Nigeria is one plot (approximately 450–500 square meters).
This is usually enough for a mini or 5-ton skid plant, which is the most popular size for startups.
If you plan to install a 10-ton capacity plant or add extra storage tanks and parking space, you should consider two plots of land for safety, accessibility, and expansion room.
Recommended Land Sizes by Plant Type
| Plant Capacity | Recommended Land Size | Description |
|---|---|---|
2.5 Tons (Mini Plant) |
Half to 1 plot |
Ideal for small communities or mobile LPG stations |
5 Tons (Standard Skid Plant) |
1 plot |
Suitable for urban or suburban areas with high demand |
10 Tons (Mid-size Plant) |
1.5 – 2 plots |
Best for busy cities or large customer bases |
20 Tons (Large Plant) |
3 – 4 plots |
For industrial, commercial, or bulk LPG distribution |
What to Consider When Choosing Land
Before buying or renting land, make sure it meets NMDPRA (Nigerian Midstream and Downstream Petroleum Regulatory Authority) safety and approval standards:
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Your land should be easily accessible by road for delivery trucks and customers.
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Avoid locations near high-tension lines, schools, churches, hospitals, or event centers. These can cause issues during safety inspection and licensing.
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Make the land is zoned for commercial or industrial use and not part of a residential-only area.
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A flat, dry, and stable land reduces construction cost and makes installation easier.
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If your budget allows, buy a slightly bigger land (1.5–2 plots). You might want to expand later to add accessories like a mini mart, car park, or extra gas tanks.
Pro Tip:
If your land space is limited, go for a skid-mounted LPG plant.
It requires less space, can be installed faster, and can be relocated anytime - perfect for first-time investors or small-scale operators.
Example:
- Mini 5-ton skid plant: 1 plot (enough space for tank, dispenser, and small office)
- 10-ton plant: 2 plots (allows extra safety distance, compressor, and delivery space)
My Advice?
LPG plant requires enough space, a well ventilated area - maybe the mounted skid may not require that much massive land, but you can't play with chances here. However, with just one plot, you can begin operations, provided you follow safety standards and get all regulatory approvals.
The key is choosing a strategic, accessible, and approved location that ensures safety and steady customer traffic.
Invest wisely - space is important, but compliance and accessibility are what make your business sustainable.