Oando, Oilserv to Construct Ajaokuta-Kaduna Portion of AKK Project
Oando Plc has partnered Oilserve Limited to construct a 303.4km linear pipeline system for the Ajaokuta to Kaduna portion of the $2.8 billion, 40 inch by 614km Ajaokuta-Kaduna-Kano Gas Pipeline Project, the AKK Pipeline.
According to a statement released by Oando through the Nigerian Stock Exchange, the construction of the AKK Pipeline Project approved in 2018 has commenced on Tuesday, June 30, 2020.
The statement reads “Oando PLC (referred to as “Oando” or the “the Company”), is pleased to announce to the Company’s attendance as a consortium partner at the flag-off ceremony for the construction of the $2.8billion, 40 inch by 614km Ajaokuta-Kaduna-Kano Gas Pipeline Project (the “AKK Pipeline”), by the President of the Federal Republic of Nigeria, Muhammadu Buhari GCFR on Tuesday, June 30, 2020.
“The AKK Pipeline Project, championed by two consortia comprising select indigenous and international companies commenced in 2013 with the announcement for tenders by the Nigerian National Petroleum Corporation (NNPC). In April 2018, the Company announced that following an extensive due diligence and bid process, the Oilserv-Oando PLC consortium was awarded the Engineering, Procurement, and Construction (EPC) mandate for segment 1, accounting for 40” by 303.4km linear pipeline system for the Ajaokuta to Kaduna portion of the AKK Pipeline Project by the NNPC.”
Speaking on the project, Jubril Adewale Tinubu, the Group Chief Executive, Oando PLC, said: “As a proudly Nigerian company, focused on driving indigenous participation we have always been proponents of public private partnership in accelerating the actualization of the nation’s goals.
“We have aspired to play an integral role in the building out of the National Gas Infrastructure and Pipeline Grid, as evidenced by our efforts in 2009, post the Nigerian Gas Masterplan when we participated in the unrealized Calabar- Ajaokuta- Abuja-Kano (CAAK) line.
“We have developed strategic partnerships with both private sector players and the NNPC in bringing sustainable solutions to spur the development of the country via our numerous gas development and distribution projects. We commend the NNPC for spearheading projects that will soften the headwinds occasioned by the global COVID-19 pandemic.
“We are proud to be active participants in driving the country’s industrialization and actualization of the Gas Master Plan which will undoubtedly create employment opportunities and ultimately generate as well as enhance value for the nation.”