By Adedapo Adesanya
The Group Chief Executive Officer (CEO) of the Nigerian National Petroleum Company (NNPC) Limited, Mr Mele Kyari, has said the Ajaokuta-Kaduna-Kano (AKK) Gas Pipeline Project is now 70 per cent completed despite the perceived halt of the project.
He made this disclosure as he provided updates on the project during an on-site visit on Monday in the Ahoko community of Kogi State.
He said, so far, a total of $1.1 billion has been spent on the $2.5 billion project, which was inaugurated by President Muhammadu Buhari in June 2020.
The 614 km facility will have the capacity to transport two billion standard cubic feet of natural gas per day to three proposed independent power plants in Abuja, Kaduna, Kano, and other gas-based industries, as well as other identified and proposed commercial off-takers along the entire pipeline route.
“For the benefit of the Nigerian public, this is one of the most massive projects that we’ve run in the company. It is of immense proportion and value to our country and to the socioeconomic growth of our country,” Mr Kyari said.
According to him, the “must-deliver” project has not stopped for a single day and admitted that there was no third-party financing to the project as financiers allegedly pulled out overinflated contracts.
“We’re continuing to fund it despite the fact that we do not have third-party financing on this project. We have so far spent over $1.1 billion on this project from our cash flow.
“We are a very different company today; we are a commercial company. This company can fund this project, so we do not need any support on this project. We will deliver this project,” Mr Kyari explained.
The NNPC Limited chief executive noted that “we don’t owe a dollar to our contractors today,” saying all the invoices of the over 35 of their contractors active on the project had been paid.
“And we are very hopeful and optimistic that we will deliver this project,” he added.
If delivered, the AKK project will become a game changer to Nigeria’s gas needs domestically and also a source of trade internationally.
