The Federal Government, through the South East Development Commission (SEDC), has kicked off a $100 million gas distribution pipeline project to boost industrialisation, attract investments and create jobs in the South-East.
The 400-kilometre pipeline, designed to connect gas resources to industrial and commercial centres across Enugu, Anambra, Imo, Abia and Ebonyi states, has about 150 potential customers identified, with projected demand of 254 million standard cubic feet per day.
The investment agreement was signed on Tuesday at the South-East Gas Infrastructure Investment and Project Development Ceremony held at Hotel Presidential, Enugu.
President Bola Tinubu, represented by Deputy Speaker of the House of Representatives, Benjamin Kalu, described the project as a strategic investment that would connect the region’s gas resources to industries and unlock economic opportunities.
“The South-East’s entrepreneurial spirit is one of Nigeria’s greatest economic assets. I have always believed that the prosperity of the South-East is inseparable from the prosperity of Nigeria,” Tinubu said.
He said the project aligns with his administration’s commitment to regional integration, noting that gas infrastructure must serve industries across state boundaries.
“Gas infrastructure must therefore serve industries and markets, not stop at political boundaries,” he said.
According to him, the pipeline will benefit manufacturers in Aba, strengthen industrial clusters in Nnewi and Onitsha, attract enterprises to Enugu, expand agro-processing in Ebonyi and connect Imo’s gas resources to the wider regional economy.
“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,” he said.
Tinubu said the ultimate goal is to translate natural resources into jobs and prosperity, and urged SEDC and partners to uphold transparency, safety and measurable timelines.
He commended SEDC for committing $3m to the project and establishing a framework to mobilise additional capital. The initial phase requires about $100m.
Enugu State Governor, Peter Mbah, commended Tinubu for establishing SEDC, describing it as long overdue.
“What we have just signed here today is an investment agreement, meaning that investment has commenced,” Mbah said, assuring that South-East governors would expedite right-of-way and EIA approvals.
Imo Deputy Governor, Lady Chinyere Ekomaru, representing Governor Hope Uzodimma, said Imo’s substantial gas resources position the state strategically, noting that the project comes as companies seek offtakers from the Assa North-Ohaji South development.
Anambra Deputy Governor, Dr Onyekachukwu Ibezim, representing Governor Chukwuma Soludo, urged community buy-in.
Ebonyi Deputy Governor, Mrs Patricia Obila, representing Governor Francis Nwifuru, said the state would support the project to revive moribund companies. “Energy is power. Its importance cannot be overemphasised,” she said.
SEDC MD/CEO, Mark Okoye, said the commission conducted technical, financial and legal due diligence before committing funds, targeting aggregate regional investment participation of up to $30m including its $3m.
Project promoter, GasSync’s Callistus Mba, said the network would originate from Ohaji in Imo, run through Owerri and branch towards Aba and Onitsha, with extensions to Enugu and Ebonyi. He said construction would start simultaneously at Ohaji and Onitsha to accelerate delivery, after concerns raised by Governor Mbah.
He said about 150 prospective customers have been identified, including Geometric Power in Abia.
