Federal Government completes $700M Gas Pipeline After 8 Years

Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo
Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo

The Federal Government revealed on Tuesday that the $700m Obiafu/Obrikom/Oben gas pipeline, commonly referred to as OB3, is scheduled for completion in March 2024, after commencing in 2016.

This announcement was made at the ongoing 7th Nigeria International Energy Summit in Abuja, where President Bola Tinubu also explained why his government had to remove petrol subsidy despite the challenges.

During his remarks at the summit, the Minister of State for Petroleum Resources, Gas, Ekperikpe Ekpo, provided a couple of status reports on Nigeria’s gas sector and described the OB3 gas pipeline as one of the biggest gas transmission systems in both Nigeria and Africa.

He mentioned that another milestone in their journey towards a gas-focused economy is the Ajaokuta-Kaduna-Kano pipeline, and he is happy to announce that significant progress has been achieved in the construction of this crucial infrastructure project, and they are on course to guarantee its completion and commissioning as planned.

“The Obiafu/Obrikom/Oben (OB3) is a vital piece of gas infrastructure for the supply of feedstock to the AKK pipeline. This pipeline is among the biggest gas transmission systems in both Nigeria and Africa.

“I am highly elated to announce that going by the contractor estimates, the OB3 pipeline will be completed by March 2024 and the 42” 127km pipeline will supply 2BCF (two billion standard cubic feet) per day,” the minister stated.

Upon completion, Ekpo highlighted that the pipeline would deliver gas from the Obiafu, Obrikom, and Oben fields to the AKK pipeline, while praising NNPCL for their dedication to timely completion of the OB3 pipeline project.

The estimated cost for building the OB3 gas pipeline is $700 million. The project, also referred to as the East-West Pipeline, commenced in 2016.

It links the Obiafu-Obrikom gas plant near Omoku, Rivers State, to Oben, Edo State, aiming to transport two billion standard cubic feet of gas per day.

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