- The Federal Government plans to begin construction of a 400-kilometre gas pipeline across five South-East states in early 2027.
- The $100 million project targets first gas delivery in the second quarter of 2028 and aims to supply industries, power plants and agro-processors.
The Federal Government plans to begin construction of a $100 million gas pipeline across Nigeria’s South-East in the first quarter of 2027. The 400-kilometre network will connect the ANOH gas processing plant in Imo State to industrial and commercial centres across Abia, Anambra, Ebonyi, Enugu and Imo states.
The South East Development Commission (SEDC), through the South East Investment Company (SEIC), is developing the project with GasSync and NNPC Gas Marketing Limited. The partners expect to deliver the first gas supplies in the second quarter of 2028.
SEDC Managing Director and Chief Executive Officer Mark Okoye said the commission had committed $3 million after completing technical, financial and legal due diligence. The commission also aims to attract up to $30 million in regional investment to help mobilise additional funding.
Callistus Mba, a GasSync representative, announced the project timeline at an investment and project development ceremony in Enugu. He said the pipeline could serve about 150 prospective customers across manufacturing, power generation and agro-processing.
The project estimates gas demand at 254 million standard cubic feet per day. Its planned route will start from Ohaji in Imo State and pass through Owerri, Aba in Abia State and Onitsha in Anambra State. The network will also extend to Enugu and Ebonyi states.
Pipeline Targets Industrial Growth
The pipeline will bring natural gas closer to industrial users and reduce their reliance on road transport for compressed natural gas and liquefied natural gas. This infrastructure could improve access to fuel for businesses that face energy supply constraints.
Mba said GasSync was engaging prospective customers, including Geometric Power in Abia State. The project could also support the revival of inactive industries in Enugu and help develop agro-processing businesses in Ebonyi.
Project partners have started procurement and are preparing for engineering, procurement and construction. Funding arrangements are also progressing towards financial close. However, the partners have not announced a final financing structure or a detailed construction schedule.
President Bola Tinubu, represented by House of Representatives Deputy Speaker Benjamin Kalu, said the project would address energy constraints that have limited industrial expansion across the region.
“Our ambition is not simply to deliver gas to existing factories. It is to make possible factories that do not yet exist, industrial parks yet to be developed, and investments that have remained on the drawing board because reliable energy was unavailable,” Tinubu said.
The president said the initial phase would require about $100 million. He urged development institutions to mobilise private capital alongside public funding.
“This is the model I expect from our development institutions: identify strategic economic opportunities, prepare credible projects, commit public resources responsibly and mobilise private capital at a scale government budgets alone cannot achieve,” he said.
Tinubu also called for commercial discipline, transparency, environmental responsibility, community engagement and strict adherence to safety standards. He urged project partners to publish clear timelines, milestones and progress reports.
South-East Governors Pledge Support
Enugu State Governor Peter Mbah described the agreement as a step towards industrial investment in the region. He pledged support from state governments to advance implementation.
“What we have just signed here today is an investment agreement, meaning that investment has commenced,” Mbah said.
He added that South-East governors would accelerate right-of-way approvals and environmental impact assessments to facilitate construction.
Imo State Deputy Governor Chinyere Ekomaru highlighted the state’s gas resources and opportunities for gas offtakers around the Assa North–Ohaji South gas development.
Anambra State Deputy Governor Onyekachukwu Ibezim urged communities along the pipeline route to support the project. “I want to urge the communities through which the pipelines will pass to have a buy-in. We are strongly behind the commission,” he said.
Ebonyi State Deputy Governor Patricia Obila also pledged support. She said improved energy access could help businesses expand and enable inactive companies to resume operations.
Mary Ogbe, Permanent Secretary of the Federal Ministry of Regional Development, said the SEDC’s initiatives aim to improve living standards and complement state government development efforts.
The project’s impact will depend on successful financing, timely construction and sufficient gas supplies. If delivered as planned, the pipeline could strengthen industrial activity and expand natural gas use across the South-East.