By Udeme Akpan

THERE are indications that economic activities will be boosted in Nigeria because of the successful completion, and the inauguration of a new 18km gas pipeline system to deliver gas to industries in the South West.

The pipeline was completed by Axxela Limited, via its subsidiary Transit Gas Nigeria Limited, TGNL, and in partnership with the Nigerian Gas Marketing Company Limited, NGMC, a subsidiary of the Nigerian National Petroleum Corporation.

In a statement obtained by Vanguard, Axxela Limited confirmed that, ‘’the 150mmscfd pipeline runs from Ibefun to Rite Foods Limited’s large-scale factory in Ososa, Ogun State.’’

It stated: “First gas has been delivered through this pipeline to Rite Foods Limited, the manufacturer of Bigi Drinks, Rite and Bigi Sausages, and Fearless Energy Drinks. With consistent gas supply, the fast-moving consumer goods company will achieve significant energy cost-savings.”

Speaking on the project commissioning, Axxela Chief Executive Officer, Bolaji Osunsanya, said: “This venture is in firm alignment with our near-to-long term market expansion strategy, and emphasizes our push to broaden our asset portfolio and strengthen our market play within the gas sector.

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Axxela/NGMC pioneered the gas distribution in the Greater Lagos area, and our present positioning enables us significantly increase our industrial and commercial client footprint across the south-western corridor. By providing the gas advantage, we are enabling the development of self-sustaining industrial clusters to bolster Nigeria’s industrialization and socio-economic empowerment.”

Similarly, speaking on the NGMC/TGNL JV and the new pipeline grid, NGMC Managing Director, Engr. Faruk Usman said: “As part of our strategy, we are delighted to pioneer and implement initiatives with private players, which is a clear indication of our willingness to collaborate and ensure the success of Nigeria’s Gas Expansion Programme. The SGDZ will contribute to the development of Sagamu and its environs by facilitating industrial growth, cleaner energy generation, and fostering community employment through gas availability.”

However, in line with Axxela’s and NGMC’s commitment to the International Finance Corporation’s (IFC) Performance Standards, Corporate Social Responsibility projects have been implemented across the host communities of the operation.

Vanguard News Nigeria