What is a Gas Sales and Purchase Agreement (GSPA)?

A Gas Sales and Purchase Agreement, or GSPA, is the supply contract between a gas customer and the gas supplier. If you are switching your facility to piped natural gas, the GSPA is the document that governs your supply. Here is what it is and why it matters.

What the GSPA covers

A GSPA sets out the commercial and technical terms of gas supply, typically including:

• The volume of gas to be supplied and taken
• The price and how it is calculated
• Delivery point, pressure and metering arrangements
• Billing, payment and the term of the agreement

Who the parties are

For customers of the NGML-Gasland Horizon joint venture, both NNPC Gas Marketing Limited and Gasland Horizon Company Limited are named parties to every GSPA. That means your supply is not resting on a single private company - it is anchored by the national gas marketing arm of the NNPC group.

Why that matters

For an industrial energy user making a multi-year commitment to a fuel source, the strength of the counterparty is as important as the price. Having NGML on the contract gives your supply institutional backing, regulatory alignment and continuity.

How you get one

The GSPA comes after your Energy Data Form and site assessment, once volumes and terms are clear. It precedes construction of your connection. See the full switching process for where it fits, or browse the glossary for related terms.