REUTERS/Afolabi Sotunde/File PhotoLAGOS, Aug 3 (Reuters) - Nigeria is turning to gas as an alternative fuel after it scrapped a popular but costly subsidy on petrol that has seen pump prices rise sharply, angering motorists and businesses that use petrol to generate their own power. State-oil firm NNPC said late on Thursday it has partnered with NIPCO Gas to speed up the adoption of compressed natural gas for buses, cars and tricycles to lower transportation costs. Under the NNPC-NIPCO deal, 35 compressed natural gas stations will be rolled out in phases to be completed next year and will be able to serve more than 200,000 vehicles daily. NIPCO already operates 14 compressed natural gas stations, NNPC said, and that the local firm has turned more than 7,000 vehicles to gas, it said. Last month, NNPC signed an agreement with UTM Offshore for the local company to construct a 1.5 metric tonnes per annum floating liquefied natural gas plant.

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Persons: Afolabi, NNPC, Bola Tinubu, Tinubu, MacDonald Dzirutwe, Chijioke, Grant McCool Organizations: REUTERS, NIPCO Gas, Offshore, Thomson Locations: Abuja, Nigeria, LAGOS, State, Africa's