What does the South East Gas Distribution Pipeline Unlock?

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The South East Development Commission (SEDC) recently announced plans to build a 400-kilometre regional gas distribution pipeline connecting all five states in Nigeria’s South-East.

The project, which has an initial development cost of $100 million, was formalised through an investment agreement signed at the South-East Gas Infrastructure Investment and Project Development Ceremony in Enugu.

The South East Development Commission (SEDC) is executing the deal through its investment arm, the South East Investment Company (SEIC), alongside NNPC Gas Marketing Limited (NGML), Gas Aggregation Company of Nigeria (GACN) and GasSync Limited.

SEDC has committed $3 million to the initiative and is targeting up to $30 million in aggregate regional investment participation, inclusive of its initial commitment.

The pipeline will connect directly to the ANOH Gas Processing Plant and the OB3 trunkline in Imo State. Starting in Ohaji, it will pass through Owerri before branching toward Aba in Abia State and Onitsha in Anambra State, with extensions into Enugu and Ebonyi States. Designed to transport approximately 254 million standard cubic feet of natural gas daily, the network will supply major commercial and industrial hubs, including Aba, Nnewi and Onitsha.

By extending gas infrastructure into industrial and commercial centres across the region, the project will improve access to natural gas, encourage greater utilisation by manufacturers and businesses, and support the transition to more reliable and cost-effective energy sources. It is also expected to reduce the high cost of transporting compressed natural gas (CNG) and liquefied natural gas (LNG) by road, making gas supply more efficient and accessible.

Ultimately, the pipeline will strengthen the region’s industrial capacity, support manufacturing growth and create an enabling environment for new investments.

Construction is scheduled to commence in the first quarter of 2027, with first gas delivery expected in the second quarter of 2028.

The ALDG congratulates NNPC Gas Marketing Limited, which is one of its member companies and wishes them a safe and successful delivery of this regional backbone gas distribution infrastructure