Nigeria’s Federal Government has given its guarantee that the Construction of the Obiafu/Obrikom/Oben (OB3) Gas Pipeline will be finalised by March 2024. During the 7th edition of the Nigeria International Energy Summit (NIES 2024) held in Abuja, Minister of State for Petroleum Resources (Gas) Ekperikpe Ekpo revealed the launch of the 42″, 127 km pipeline that will deliver a daily supply of two billion Cubic Feet (2BCF) of gas. The gas pipeline stretches from the gas plant near Omoku in Rivers State to Oben in Edo State.
The Nigerian National Petroleum Company NNPC Ltd could have completed the pipeline construction, but due to technical difficulties, such as horizontal drilling beneath large rivers. The original completion target of the end of 2017 has yet to be met. Ekpo mentioned that once finished; the AKK pipeline will be supplied with gas from the Obiafu, Obrikom, and Oben fields. He took a moment to appreciate the NNPC Ltd. Group’s determination and proactive efforts in ensuring the OB3 pipeline project was completed on schedule.
This pipeline is one of the comprehensive gas transmission systems.
Also, the pipeline is crucial in providing essential feedstock for the Ajaokuta-Kaduna-Kano (AKK) pipeline, contributing significantly to developing a gas-centred economy. During construction, the OB3 pipeline transports Natural Gas from the Obiafu-Obrikom gas plant to the Oben node in Nigeria. He is excited to announce the substantial advancements in building the essential Infrastructure project, and they are confident that it will be finished and unveiled on time. Ekpo added that the pipeline is one of the most comprehensive gas transmission systems in Nigeria and across the continent of Africa.
He stated that President Bola Tinubu’s administration was dedicated to establishing a conducive environment for the gas industry’s development. The minister emphasised the administration’s efforts to create an environment conducive to investment, innovation, and Sustainability by implementing policies and regulatory framework. He emphasised the importance of the gas industry in boosting energy security, pointing to its vast proven gas reserves exceeding 208TCF and promising potential for further exploration. As Nigeria pushes forward on its path of national progress, it encounters a series of challenges that also serve as a chance to shape the direction of the country’s future.
Natural gas will promote economy, jobs and environmental sustainability.
Furthermore, the abundance of natural gas in the country presents a valuable opportunity to boost the economy, create jobs, eliminate poverty, and promote Environmental Sustainability through careful and strategic planning. Relying too heavily on oil Revenue is a significant economic threat that everyone knows in the country. Despite attempts to shift focus away from oil reliance, the minister acknowledged that Nigeria still grappled with many challenges. In challenging times, he emphasised the importance of innovation, strategic thinking, and financial support for transformative projects, especially in the ever-evolving gas industry.
According to the minister, tapping into domestic and international investments is crucial for maximising the utilisation of the nation’s gas reserves. During his speech, Mr. Abdulrazaq Isa, the Chairman of the Indigenous Petroleum Producers Group (IPPG) and Waltersmith Group, emphasised the importance of increasing oil and gas production and promoting investments to drive speedy economic development. He labelled Nigeria as Africa’s foremost producer of oil and gas, with the most extensive native workforce in the oil and gas and financial sectors across the continent.
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Lastly, he firmly believes in the importance of having the headquarters of the Africa Energy Bank in Nigeria, a project led by the African Petroleum Producers Organisation (APPO) and AfreximBank. Efforts need to be coordinated by the Ministry of Petroleum Resources to achieve this goal. In his statement, Dr Omar Farouk, Secretary-General of APPO, mentioned that a final decision on the location of the upcoming African Energy Bank will be made by the conclusion of the first quarter of 2024. This decision comes after seven countries, including Nigeria, expressed their desire to host the bank.