The Nigerian National Petroleum Company Limited says it has spent over $1.1 billion on the ongoing construction of the Ajaokuta-Kaduna-Kano (AKK) gas pipeline and station project from its cash flow.
The NNPCL CEO Mele Kyari disclosed this on Monday while touring some of its project sites in Kogi with journalists and other stakeholders.
Mr Kyari was accompanied by top NNPCL and Oilserv Limited (the project’s contractor) officials. He said the company would continue to fund the massive project, which is delivered in phases and has been active even though it does not have third-party finance.
“So far, NNPC Ltd has funded over $1.1billion on the project and to date, none of the project activities is abandoned as reported, and we reassure all stakeholders that we have a line of sight to project delivery on schedule,” the NNPCL boss explained.
Mr Kyari added the national oil company “remains highly committed towards the delivery of strategic national infrastructure projects through responsive project delivery, active collaboration with government security agencies and communities as well as deployment of technology for delivering the project.”
He noted that “this is one of the most massive projects of proportion value to our country for economic growth” and “is a must-deliver project, and we have continued to fund in spite of not having third-party finance support.”
“We will deliver this project,” he reiterated. “We do not owe a dollar to our contractors. There are over 30 sites that are active today in this project. We are very hopeful and optimistic to deliver this project.”
Mr Kyari decried the insecurity affecting those working on the project. He revealed that some site workers had been killed, expressing sadness over their demise and consoling their families.
He said 70 per cent of the welding had been completed, adding that gas could begin to flow through the pipeline once welding was completed. The pipeline would deliver two billion cubic feet of gas, powering industries, powering power plants and creating gas-based industries.
The NNPCL chief said the welding would be completed by the third quarter of 2023. The gas pipeline is expected to support power plants with 3,645 megawatts. The construction of the Abuja-Kaduna power plants will soon begin.
(NAN)