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Commissioning of Nigeria’s $2.8bn AKK Gas Project Moved To December 2024

The Ajaokuta–Kaduna–Kano gas pipeline project being handled by Oilserve Limited which commenced in July 2020 is aimed to ease transportion of natural gas from Ajaokuta in Kogi state to Kano through several states.

Though it had suffered relative delays over the years which included postponements, latest by Oritsemiyiwa Eyesan, executive vice president, Upstream, NNPC in November 2023 had said that the project will be ready for commissioning in December 2023.

However, Mele Kyari, the Group Chief Executive Officer (GCEO) of the Nigerian National Petroleum Company Limited (NNPC Ltd) on Thursday said that the completion date for the project is now December 2024.

Kyari disclosed this while delivering his address at the 2024 Society of Petroleum Engineers (SPE) Oloibiri Lecture Series & Energy Forum (OLEF) in Abuja on Thursday.

Kyari explained that efforts were ongoing at the NNPC Ltd to develop the right infrastructure needed to bridge the energy access gap in Nigeria, while drivinv prosperity for Nigerians.

“We are committed to developing gas infrastructure across the country. We are dedicated to investing in critical infrastructure to enhance economic prosperity by supplying gas to the domestic market, targeting at least 8 billion cubic meters,” he said.

According to Kyari, the company is on course to ensure that the AKK pipeline is ready to start receiving gas by the end of this year. He added that work was ongoing to repair its pipelines so to limit the use of tankers in delivering petroleum products.

Kyari, calling for support in leveraging Nigeria’s abundant gas resources for economic prosperity, said that on the global front, NNPC Ltd was working on expanding gas supply to the international market primarily through the NLNG Train 7 project while efforts were also being made to kick off Train 8 as well as the various floating LNG initiatives.

In his remarks, Salahuddeen Tahir, Chairman of the Society of Petroleum Engineers (SPE) Nigeria Council, stressed on the importance of technology in improving infrastructure, transportation, and security efforts in the energy sector, adding that ensuring stability in the energy sector would drive economic growth, national security, and environmental sustainability.

Tahir who doubles as Head of Asset and Investments Management (NGPIS), said there was need to develop a diversified and sustainable energy transportation system as a measure for mitigating climate change and enhancing energy security.

He emphasized the critical role of energy in modern society saying, “It’s a trigger for essential services such as transportation, heating, electricity generation, medical services, security, banking services, and communication.

He said, “Integrated strategies that address infrastructure, transportation, and security are essential for achieving national stability. While progress has been made in expanding energy infrastructure and enhancing production capacities, significant challenges persist, particularly in areas such as transportation and security.

Also speaking, Heineken Lokpobiri, the minister of petroleum (oil) said that the government is ensuring an enabling environment to diversify the economy, particularly ramping up oil and gas investments for better revenue generation and economic stability.

He stressed tbat the integrated strategies for infrastructure development should take advantage of the abundant fossil fuel to save against the future, while considering transitioning into other renewable energy sources, such as solar and wind, to diversify our energy mix.

He said, “Smart grid technologies and digitalization should be incorporated to enhance efficiency, reliability, and resilience in energy delivery.

“Government will take path way geared towards addressing the infrastructural bottlenecks to enhance economic growth and efficient supply of energy resources to the nation.

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