NIPCO Gas Ltd. has signed an agreement with the NNPC Gas Marketing Ltd. (NGML) and Lekki Free Zone Development Company (LFZDC) to build a gas pipeline.

The gas pipeline, which is expected to be completed in the next six months, is planned to supply gas to the Lekki Free Zone and feed a 24 Megawatts (MW) power plant in the axis.

Speaking at the signing of the MOU in Lagos on Sunday, the Managing Director, NIPCO Gas, Nagendra Verma, said the pact would aid smooth distribution of gas to the Lekki area of Lagos State.

“Our intention is to supply gas, which is economical, cheaper and environmentally friendly.

“It will also enhance efficiency of equipment and ultimately boost the economy of this country.

“We are developing gas infrastructure to meet the power requirement of the industries,” said Mr Verma.

According to him, this business engagement will attract more industries to set up their facilities within LFZDC, which will not only support the consortium, but also develop the Free Zone area.

“This is also going to boost the industrialisation and employment opportunities in Lekki area, which in turn will boost the economy of the country.

“We believe that the collaboration between NGML-NIPCO and LFZDC shall attract industries, as the free zone has many advantages like proximity to the sea-port and export promotion zone advantages.

“It will also improve road connectivity, hence providing better logistics for movement of raw materials or finished products.

“We feel really happy to be associated with this project, and would like to thank NNPC Gas Marketing Ltd. for making NIPCO Gas their preferred partner, and thanks also to LFZDC for partnering with the NGML-NIPCO Consortium,” he said.

Also, Managing Director, NGML, Justin Ezeala, said the company partnered NIPCO because it was a reliable firm and an industry leader in pipeline laying.

“We appreciate the LFZDC for its confidence in us and we will monitor the process to ensure a fruitful project,” he said.

Meanwhile, Managing Director, LFZDC, Dai Shunfa, said the company had been in need of sufficient gas supply for many years.

“We negotiated the agreement with NIPCO and NGML. It has become reality today.

“I believe this is a win-win situation for the parties. This will be a key facility for us,” said Mr Shunfa.

Mr Shunfa said some equipment had already been procured for the project and would be moved to site immediately after the signing ceremony.

The proposed gas infrastructure development will enhance business development in Ibeju Lekki community and also boost economic growth in Lagos. 

(NAN)