• Saturday, May 18, 2024
businessday logo

BusinessDay

$2.8bn AKK gas pipeline project at 48% completion – Buhari

Buhari asks Reps to approve $800m social safety loan  …as house adjourns plenary

The $2.8bn Ajaokuta-Kaduna-Kano (AKK) natural gas pipeline project being constructed by the Federal Government through the Nigerian National Petroleum Company Limited and its partners, is now 43 percent completed, the President Muhammadu Buhari has said.

The president said this while speaking at the ongoing 2023 Nigeria International Energy Summit (NIES) in Abuja themed Global Perspectives for a Sustainable Energy Future.

In his remarks, the president said this project would help generate 3.6 gigawatts of electricity, and provide support for gas based industries.

Buhari who was represented by Boss Mustapha, Secretary to the Government of the Federation (SGF) said upon his assumption of office in 2015, the energy sector was not in a good position and suffered numerous challenges which his administration addressed gradually.

Highlighting some of his administration’s achievements, he said his administration combatted the issue of funding and sensitised the oil and gas sector, passed the PIA, committed to the net zero emission goal, etc.

“We officially declared natural gas as the transition fuel for Nigeria and launched many initiatives to ensure natural gas utilisation is a reality; we are also making progress with the gas flare commercialisation program which provides opportunities for the federal government, industries state government and local communities to work together,” he said.

Speaking on the 2020 Marginal Fields bid round that was concluded last year, he said the federal government generated around N200 billion from it.

Read also: Court restores Ararume as NNPC non-executive chairman, awards N5bn damages

“We implemented the marginal fields bid round and saw to the conclusion of the process, which resulted in the award of Petroleum Prospective Licenses to 161 successful firms with the Federal Government raking in about N200bn, as well as $7m from the process,” he said.

He promised that the energy sector will continually be prioritised till his administration ends, while the achievements would ensure that the incoming administration hits the ground running upon assumption of office.

Gabriel Aduda, Permanent Secretary, the Ministry of Petroleum Resources in his address said as the world grown and economies expand, the demand for energy continues to rise making it more important to find sustainable and innovative ways to meet the growing demand.

“We are also committed to a sustainable energy future And we are investing in renewable energy as well, energy efficiency and clean technologies, we believe that, by working together we can build a more resilient, sustainable and equitable energy future for all,” he said.

Mele Kyari, GCEO, NNPCL said oil and gas remains a significant component of energy the global energy mix therefore more opportunities are been unlocked across both the oil and gas value chain spanning from supply and infrastructure to the markets.

For the gas export market, he said the ongoing NLNG Train 7 will expand Nigeria’s LNG production capacity to about 30 million tons per annum (30 MTPA).

“This is in addition to the planned Nigerian Morocco and the Trans Sahara Gas Pipeline projects which will supply gas to sub-regional African countries and subsequently Europe,” he said.

Kyari represented by Mohammed Ahmed, Executive vice president , Gas, Power and new energy, NNPCL said the NNPC is poised to reliably deliver energy to our stakeholders, though efficient utilization of hydrocarbons and other new energy sources which our country is blessed with.