Tinubu backs local engineering as firm moves to unlock Escravos-Lagos pipeline’s 2.3bcf gas capacity

Date:

By Egena Sunday Ode

 

President Bola Tinubu has reaffirmed his administration’s commitment to unlocking Nigeria’s gas resources to power industries, improve electricity supply, create jobs and boost export earnings.

The President spoke while receiving the Founder and Chairman of Lee Engineering Group, Chief Dr. Leemon Ikpea, at the State House, Abuja, following the indigenous firm’s feat in building two compressor stations to enable the Escravos-Lagos Pipeline System (ELPS) operate at its full capacity of 2.3 billion standard cubic feet of gas per day.

According to a statement by his Special Adviser on Information and Strategy, Bayo Onanuga, Tinubu used the occasion to reaffirm his Nigeria First policy, urging international oil companies operating in the country to give competent Nigerian engineering and manufacturing firms greater opportunities in major energy projects.

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Lee Engineering is handling the Engineering, Procurement and Construction (EPC) of two midline compressor stations in Edo State.

Although the pipeline’s designed capacity was increased from 1.1 billion to 2.3 billion standard cubic feet per day under the ELPS II expansion, the compressor stations are required to raise operating pressure and enable it to deliver at full capacity.

The project is expected to strengthen gas transportation to power plants and industries along the corridor, support increased gas supplies to neighbouring West African countries through the West African Gas Pipeline, and create opportunities for additional export revenue.

President Tinubu said Nigeria First must translate into more contracts for capable Nigerian firms, greater use of locally manufactured equipment and more skilled jobs for Nigerians.

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He encouraged IOCs to build stronger partnerships with indigenous engineering companies that have demonstrated capacity to deliver complex projects.

The President also pointed to his administration’s 2024 executive orders and presidential directives on local content compliance, contracting costs and approval timelines as measures to attract investment, cut delays and expand opportunities for Nigerian businesses.

Earlier, Dr. Ikpea commended the President’s Nigeria First policy and disclosed that Lee Engineering’s fabrication yard in Warri, Delta State, is manufacturing some components for the compressor stations and houses some of the most advanced fabrication equipment in the industry.

He noted that Nigerian companies have invested heavily in modern equipment, technology and skilled personnel and can now undertake complex EPC projects previously handled by foreign contractors, keeping more jobs, expertise and economic value within Nigeria.

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