NNPC Pushes Back Completion of $700M Gas Pipeline to August

The Nigerian National Petroleum Company Limited (NNPC) has announced a shift in the delivery date for the completion of the $700 million Obiafu-Obrikom-Oben gas pipeline project, also known as OB3. Initially scheduled for completion in March 2024, the project is now expected to be finished in August.

This development was announced by the NNPC spokesperson, Olufemi Soneye, in a statement issued in Abuja on Sunday.

The OB3 gas pipeline project, which commenced in 2016, is one of the biggest gas transmission systems in Nigeria and Africa. Once completed, the 42-inch, 127km pipeline is expected to supply two billion standard cubic feet of gas per day.

The project is designed to link the Eastern gas pipeline network to the Escravos-Lagos Pipeline System in the West and the Ajaokuta-Kaduna-Kano pipeline in the North.

The River Niger Crossing operation has been a significant challenge in the completion of the OB3 gas pipeline project. For over three years, various technologies have failed to achieve the construction of the 48-inch pipe under the river bed between Ndoni in Rivers State and Aboh in Delta State.

However, with the adoption of the Micro-Tunnelling/Direct Pipe Installation technology, the new contractors, Messrs HDD Thailand/Enikkom and Tunnelling Services Group (TSG), have made significant progress, achieving about 860 meters out of the 1,800 meters required.

During an inspection tour of the OB3 pipeline River Niger Crossing operation at Aboh, Delta State, the Group Chief Executive Officer, NNPC, Mele Kyari, expressed delight at the breakthrough and confirmed that the project would be completed in August. He emphasized the significance of the project, stating that it would deliver the gas revolution in the country and provide a breathing space for demand.

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The minister of State for Petroleum Resources, Gas, Ekperikpe Ekpo, also expressed satisfaction with the pace of work at the OB3 River Niger Crossing operation and is confident that the project will be completed by July or August.

“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,” Ekpo had stated.

“I was here last year and I saw the work that was going on. There was a promise that it would be completed by December last year. I took it with a doubt. But today, from what I can see, I am confident that by July or August, it will be completed, and it will be commissioned by the President,” the minister stated.

The Special Adviser to the President on Energy, Olu Verheijen, is looking forward to the completion of the project, which is expected to deliver prosperity to Nigerians in the form of electricity and other areas.

The Managing Director, Tunnel Service Group, Ingo Justen, has also expressed confidence in the current technology being applied, which he believes will lead to the speedy conclusion of the project.

The estimated cost for constructing the OB3 gas pipeline is $700 million, and the project is expected to transport over two billion standard cubic feet of gas per day.