Nigeria has cleared a major technical obstacle on its flagship US$2.8-billion gas pipeline project, completing construction of the Ajaokuta–Kaduna–Kano (AKK) line, including a long-delayed crossing of the Niger River, the state-owned oil company said.
The Nigerian National Petroleum Company (NNPC) announced late Sunday that the successful river crossing removes one of the most complex engineering challenges facing the 614-kilometre pipeline, a project seen as critical to supplying gas to the country’s energy-starved northern regions.
NNPC chief executive Bashir Ojulari said the milestone would allow the pipeline to be integrated into Nigeria’s national gas transmission network by early 2026, paving the way for gas deliveries to key cities including Abuja, Kaduna, Kano and Ajaokuta.
“This development marks a turning point for the AKK project,” Ojulari said after a meeting with President Bola Tinubu. “It positions the pipeline to play its intended role in powering industries, expanding electricity generation and supporting fertilizer production.”
First proposed in 2008, the AKK pipeline is a central pillar of Nigeria’s strategy to monetise its vast natural gas reserves and reduce reliance on oil exports. With an estimated cost of US$2.8 billion, the project has faced repeated delays linked to funding constraints, security concerns and technical challenges.
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The pipeline is designed to transport gas from southern Nigeria to the north, a region long hampered by weak energy infrastructure and limited access to cleaner fuels. Authorities say improved gas supply could help unlock industrial growth, create jobs and reduce dependence on diesel and fuel oil for power generation.
Nigeria ranks among Africa’s top gas producers alongside Algeria and Egypt and holds an estimated 209 trillion cubic feet of proven natural gas reserves. Yet the country has struggled to translate this resource wealth into consistent domestic supply.
According to figures from the Nigeria Extractive Industries Transparency Initiative, national gas production fell by 1.2 percent between 2022 and 2023, underscoring persistent structural challenges in the sector. Significant volumes of gas continue to be flared due to inadequate processing facilities and limited pipeline infrastructure.
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Officials say the AKK project is intended to address some of these bottlenecks by expanding transmission capacity and linking northern markets to gas fields in the south. The pipeline is also expected to support government efforts to shift power generation away from more polluting fuels.
The project fits into a broader reform push launched under the 2021 Petroleum Industry Act, which overhauled Nigeria’s oil and gas regulatory framework. Other initiatives include the Nigerian Gas Flare Commercialisation Programme and policies promoting domestic use of compressed natural gas for transport and industry.
Despite the progress announced this week, analysts caution that the pipeline’s impact will depend on timely commissioning, security along its route and complementary investments in power plants and industrial facilities.
Northern Nigeria has seen past infrastructure projects slowed or disrupted by insecurity, while weak distribution networks could limit the immediate benefits of increased gas supply.
NNPC has not given a firm date for the start of commercial operations but said the pipeline would be fully operational once integration with the national network is completed in 2026.
For President Tinubu’s administration, the AKK pipeline is a high-profile test of its ability to deliver long-promised energy infrastructure and stimulate non-oil growth. Whether the project can help reverse declining gas output and drive large-scale industrial development in the north will become clearer once gas begins to flow.
