Nigerian National Petroleum Corporation (NNPC) has signed engineering, procurement and construction contracts to develop 614km Ajaokuta - Kaduna - Kano (AKK) trans-Nigeria gas pipeline project
The gas pipeline and stations, which are of more than US$2.8bn, are described as the biggest gas pipeline in Nigeria and one of the major in Africa’s oil and gas operations.
The project is scheduled to be completed in two years. After completion, the AKK gas pipeline is expected to improve connectivity between the eastern, western and northern region of Nigeria.
In addition, the pipeline project is also set to boost gas supply in Africa by utilising major commercial centres in the northern corridor of the country, thus boosting power generation and industrial growth in the region.
The Lot 1 of the AKK project, with a total length of 40inch x 200km, will be stretching from Ajaokuta to Abuja Terminal Gas Station. It has been awarded to the OilServe/Oando Consortium with a contract value worth US$855mn.
The agreement of Lot 2 is yet to be executed, said the company. It covers 40inch x 193km, from Abuja to Kaduna, with contract value worth US$835mn.
The move is in line with the NNPC’s goal to reform Nigeria’s oil and gas industry, which include developing infrastructure for effective gas pipeline projects, power plants and associated industries.
Nigeria has completed the construction of about 500km pipeline projects in the country since 2010. Some of them include Oben-Geregu, Escravos-Warri-Oben, Emuren-Itoki, Itoki-Olorunshogo, Imo River-Alaoji and etc.
Apart from the AKK project, Nigeria is also constructing the East-West OB3 pipeline (127km) which is set to be completed by Q3 2018. The country is also expanding the Escravos-Lagos Gas Pipeline System that will be completed by the end of 2018.
