Nigeria: Construction Begins on $2.5B Gas Distribution Project

Nigeria: Construction Begins on $2.5B Gas Distribution Project

Nigerian integrated energy company, Optimera Energy LFZ Enterprise, has started construction on natural gas distribution infrastructure within the Lagos Free Zone.

Under a 20-year Gas Infrastructure Development Agreement with the Lagos Free Zone Company, the project includes a 25-million standard cubic feet per day City Gate Station, a 10-km distribution line and a 6.5-km, ten-inch gas pipeline.

The pipeline connects the Escravos – Lagos Pipeline System tie-in point in the Lekki Corridor to the Optimera City Gate Station at the Lagos Free Zone.

Aligned with Nigeria’s Decade of Gas initiative, the $2.5-billion project aims to enhance energy reliability and affordability for companies operating within the Lagos Free Zone through the use of local gas supplies.

“Natural gas is a pivotal component in our energy matrix, offering cleaner and more efficient solutions.

The infrastructure we are launching today is not just about pipes and stations, but about powering communities, industries and dreams,” stated Ekperikpe Ekpo, Nigeria’s Minister of State for Petroleum Resources (Gas).

The development comes as Nigeria sets its target to achieve net-zero emissions by 2060 and prioritizes natural gas as a means of decarbonization.

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