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Eight years after, FG poised to complete $700m OB3 gas pipeline project in March



The Federal Government has announced that the $700m Obiafu/Obrikom/Oben gas pipeline, popularly called OB3, would be completed in March 2024 eight years after the project commenced.

The Minister of State for Petroleum Resources, Gas, Ekperikpe Ekpo made this announcement on Tuesday at the ongoing 7th Nigeria International Energy Summit in Abuja.

Ekpo, while providing a couple of status reports on Nigeria’s gas sector, during his remarks at the summit described the OB3 gas pipeline as one of the biggest gas transmission systems in both Nigeria and Africa.

“Another milestone in our journey towards a gas-focused economy is the Ajaokuta-Kaduna-Kano pipeline. I am pleased to report that significant progress has been made in the construction of this critical infrastructure project, and we are on track to ensure its completion and commissioning as scheduled.

“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” 127 km pipeline will supply 2BCF (two billion standard cubic feet) per day,” the minister stated.

READ ALSO:FG, states, LGAs share N1.15tr as revenue allocation for January

Ekpo noted that upon completion, the pipeline would supply the AKK pipeline with gas from the three fields of Obiafu, Obrikom and Oben, as he commended NNPCL for its steadfastness in ensuring a timely completion of the OB3 pipeline project.

The estimated cost for constructing the OB3 gas pipeline is $700m. The project started sometime in 2016, and is also known as the East-West Pipeline.

It connects the Obiafu-Obrikom gas plant near Omuku, Rivers State, to Oben, Edo State and is to transport two billion standard cubic feet of gas per day.

On the contentious issue of subsidy removal, Minister of Information and National Orientation, Mohammed Idris who represented President Bola Ahmed Tinubu at the event stated that the petroleum subsidy had over the years strained Nigeria’s economic resources.

This, he said, led to inefficiencies and, most importantly, “hindering our ability to invest in critical areas of energy security.”

By Babajide Okeowo

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