Tinubu Backs Indigenous Engineering to Unlock 2.3Bcf Daily Gas Pipeline Capacity
ABUJA, Nigeria — President Bola Tinubu has reaffirmed his administration’s resolve to unlock Nigeria’s vast gas resources to drive industrialization, enhance electricity supply, create jobs, and boost export earnings.
The President made this declaration at the State House in Abuja during a meeting with Chief Dr. Leemon Ikpea, the Founder and Chairman of indigenous engineering firm Lee Engineering Group.
The meeting followed the local firm’s major milestone in constructing two midline compressor stations designed to activate the full 2.3 billion standard cubic feet (scf) per day capacity of the Escravos–Lagos Pipeline System (ELPS).
While the ELPS II expansion infrastructure technically increased the pipeline’s designed capacity from 1.1 billion to 2.3 billion standard cubic feet of gas per day, the system requires midline compressor stations to raise operating pressure.
Lee Engineering Group is currently handling the Engineering, Procurement, and Construction (EPC) of the two critical compressor stations in Edo State. Once fully operational, the project will stabilize gas transportation to critical power plants and manufacturing industries along the Escravos-Lagos corridor and support increased gas supplies to neighboring nations via the West African Gas Pipeline.
The government expects that the project will open up fresh opportunities for foreign exchange and export revenue.
Enforcing the ‘Nigeria First’ Policy
President Tinubu used the occasion to advocate for his administration’s “Nigeria First” policy, explicitly urging International Oil Companies (IOCs) to entrust competent local engineering and manufacturing firms with major energy projects.
“Nigeria First must translate into more contracts for capable Nigerian firms, greater use of locally manufactured equipment, and more skilled jobs for Nigerians,” the statement quoted the president as saying.
Pointing to his 2024 executive orders and presidential directives on local content compliance as foundational tools aimed at lowering contracting costs, the administration emphasised cutting bureaucratic approval delays and expanding operational pipelines for domestic companies.
Responding to the President, Dr. Ikpea revealed that Lee Engineering Group’s ultra-modern fabrication yard in Warri, Delta State, is actively manufacturing vital components for the Edo State compressor stations.
Dr. Ikpea emphasized that massive private investments in advanced technology, heavy machinery, and elite domestic personnel mean Nigerian firms are now fully equipped to execute complex EPC portfolios that were traditionally outsourced to foreign contractors.
This shift ensures vital economic value, technical expertise, and employment opportunities remain within the country.
A business journalist focused on uncovering the stories shaping companies, markets, industries, and the wider economy. Skilled at turning complex financial and corporate developments into clear, engaging stories that inform and connect with readers. Committed to accurate, insightful reporting that goes beyond the headlines.
