Singing of MoU for the $3.5bn gas investment between Akwa Ibom State Government represented by the Secretary to the State Government, Prince Enobong Uwah and GACN Managing Director, Mr. Chijioke Uzoho, in Uyo.
Nigeria’s ambitious gas industrialization drive has recorded a major milestone, as the Nigerian National Petroleum Company Limited, NNPCL, has announced a $3.5 billion investment to develop key gas infrastructure projects in Akwa Ibom State.
The announcement was made at the South-South Gas Utilisation Forum, where the Akwa Ibom State Government also signed a landmark Memorandum of Understanding, MoU, with the Gas Aggregator Company of Nigeria, GACN, signalling a coordinated push to position the state as the nation’s leading gas-based industrial hub.
The $3.5 billion investment by NNPC Ltd, according to its Executive Vice President (Gas), Mr. Olalekan Ogunleye, will fund an inter-county gas pipeline, offshore-to-land gas delivery systems, a methanol plant, a fertilizer plant, and a floating LNG facility. These projects are expected to boost domestic gas utilization, stimulate industrial development, and create jobs across the South-South.
“The commitment of NNPC to this investment underscores our belief in the vast economic potential of this region,” Ogunleye said.
Also addressing the gathering, the Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, lauded the initiative as a concrete step in actualizing President Bola Tinubu’s gas to prosperity, Renewed Hope Agenda.
“This is more than a meeting, it is a declaration of intent and a roadmap to gas-based prosperity. The South-South must evolve from being a gas-producing region to becoming a value-adding industrial zone.”
He called for deeper community engagement, stressing the importance of the Host Communities Development Trust, HCDT, provision under the Petroleum Industry Act, PIA, which mandates oil and gas firms to invest in education, healthcare, and infrastructure in host communities.
The MoU, signed by the Akwa Ibom State Government and GACN, outlines the development of a comprehensive Akwa Ibom State Gas Master Plan, AKS-GMP, covering data mapping, infrastructure planning, and demand forecasting. It also promotes access to gas supply, virtual pipeline solutions such as CNG and LPG, and support for small- and large-scale gas-based industries.
Speaking, Akwa Ibom State Governor, Pastor Umo Eno, represented by his deputy, Senator Akon Eyakenyi, described the development as “a strategic leap toward energy-led prosperity,” reaffirming his administration’s commitment to supporting Nigeria’s Decade of Gas and energy transition agenda.
“Akwa Ibom is committed to creating an enabling environment for investment, ensuring adherence to environmental standards, and delivering tangible benefits to our host communities,” Governor Eno said.
Also, GACN Managing Director, Mr. Chijioke Uzoho, said the summit, tagged “Utilising Gas as a Catalyst for Sustainable Growth” aimed to mobilize regional stakeholders toward a unified development strategy anchored on gas.
“The partnership with Akwa Ibom is a model that can be replicated across Nigeria. We are excited about the investment commitment from NNPC and the clear vision of the state government.”
The forum was attended by representatives from Akwa Ibom, Cross River, and Rivers States, NNPC Ltd.’s top management, and key gas sector stakeholders including GACN board members and host community leaders.
With the signing of the MoU and the commitment of a $3.5 billion investment, Akwa Ibom is poised to become a central player in Nigeria’s energy diversification and industrialization roadmap.
Source: Sweetcrude
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