FEC approves $2.7bn for Abuja-Kaduna-Kano gas pipeline

FEC approves $2.7bn for Abuja-Kaduna-Kano gas pipeline

- Federal Executive Council (FEC) has approved the award of contract of over $2.7 billion for Abuja-Kaduna-Kano gas pipeline

- The minister of state for petroleum resources Ibe Kachikwu said the contract will enhance movement of gas from the southern corridor to the north

- Kachikwu maintained that it would also increase power generation and enable utilization of gas up into the hinterlands

The minister of state for petroleum resources Ibe Kachikwu said the Federal Executive Council on Wednesday, December 13, approved the award of contract of over $2.7 billion to three consortiums that will complete the Abuja-Kaduna-Kano gas pipeline.

Daily Trust reports that Kachikwu said the contract would enhance movement of gas from the southern corridor to the north increase power generation and enable utilization of gas up into the hinterlands.

According to him, "One of the things we have suffered is the reaping of gas. We presently have trapped power, trapped gas all in the southern corridors that is going nowhere because of lack of infrastructure. So, that has now been awarded.

READ ALSO: Wike, Ibori, Okowa, Tambuwal hold secret meeting in Asaba

''You remember that was partially done, this is a contract that has lasted over 13 years, so we got approval for that today and so that is going forward very nicely."

According to him, ''The council also awarded a contract to a consortium for the Odidi pipeline from the Warri and the Southern marshlands which will move the additional gas we have been able to produce through the NDDC, about 364 million cubic meters of gas to be fed into the Abuja-Kaduna-Kano pipeline.

PAY ATTENTION: Read the news on Nigeria’s #1 news app

"It is all part of gas gathering mechanism. So, the two taken together basically will boost gas delivery into Nigeria. Gas delivery for power has begun for the first time to take very definitive steps towards the movement of Nigeria from being a crude nation into a gas environment."

Meanwhile, NAIJ.com had reported that vice president Yemi Osinbajo on Wednesday, December 13, presided over the weekly FEC meeting held at the Council Chamber, State House in Abuja.

Fuel scarcity: This is getting too much for us - Nigerians lament on NAIJ.com TV:

Subscribe to watch new videos

Source: Naija.ng

Related news
Check out what lady did to friends who ditched her because they graduated a year ahead of her

We are not mates - Lady calls out friends who mocked her because they graduated before her

Check out what lady did to friends who ditched her because they graduated a year ahead of her
NAIJ.com
Mailfire view pixel