During a meeting on Thursday, President Bola Ahmed Tinubu reiterated his strong resolve to fully leverage Nigeria’s abundant gas reserves to drive industrial growth, stabilize electricity supply, generate employment, and maximize export earnings.
He said this amid indigenous engineering firm, Lee Engineering’s achievement of building two compressor stations to enable the Escravos–Lagos Pipeline System to operate at its full capacity of 2.3 billion standard cubic feet of gas per day.
The President spoke while receiving the Founder and Chairman of Lee Engineering Group, Chief Dr Leemon Ikpea, at the State House, Abuja.
Tinubu reaffirmed his administration’s Nigeria First policy and urged international oil companies operating in the country to give competent Nigerian engineering and manufacturing firms greater opportunities to participate in major energy projects.
Lee Engineering is handling the Engineering, Procurement and Construction (EPC) of two midline compressor stations in Edo State. Although the pipeline’s designed capacity was increased from 1.1 billion to 2.3 billion standard cubic feet of gas per day under the ELPS II expansion, the compressor stations are needed to raise operating pressure and enable the pipeline to deliver at its full capacity.
The project is expected to strengthen gas transportation to power plants and industries along that corridor, support increased gas supplies to neighbouring West African countries through the West African Gas Pipeline, and create opportunities for additional export revenue.
The President, who said Nigeria First must translate into more contracts for capable Nigerian firms, greater use of locally manufactured equipment and more skilled jobs for Nigerians, encouraged international oil companies to build stronger partnerships with indigenous engineering companies that have demonstrated the capacity to deliver complex projects.
He also pointed to his administration’s 2024 executive orders and presidential directives on local content compliance, contracting costs, and approval timelines as measures to attract investment, cut delays, and expand opportunities for Nigerian businesses.
Earlier, Ikpea commended the President’s Nigeria First policy and disclosed that Lee Engineering’s fabrication yard in Warri, Delta State, is manufacturing some components for the compressor stations and houses some of the most advanced fabrication equipment in the industry.
According to him, Nigerian companies have invested heavily in modern equipment, technology and skilled personnel and can now undertake complex EPC projects previously handled by foreign contractors, keeping more jobs, expertise and economic value within Nigeria.
What You Should Know
President Bola Ahmed Tinubu met with the leadership of Lee Engineering Group to discuss the successful construction of two midline compressor stations for the Escravos-Lagos Pipeline System. This vital infrastructure upgrade enables the pipeline to operate at its maximum capacity of 2.3 billion standard cubic feet of gas daily, boosting energy transport to domestic power plants and regional export routes.
- Positive Impact: Enhanced gas supply will lead to more stable electricity for homes and businesses, drive local industrial production, and create specialized engineering jobs for Nigerians through the ‘Nigeria First’ local content policy.
- Potential Concerns: Continued reliance on effective local content implementation means success depends on international oil companies genuinely partnering with and empowering competent domestic firms without bureaucratic delays.
