STAKEHOLDERS SEEK FRESH BIDDING FOR $243M PIPELINE STAKE

Key stakeholders in Nigeria’s oil and gas sector have called for a fresh bidding process for the $243 million minority stake in the Ajaokuta-Kaduna-Kano (AKK) natural gas pipeline project, citing transparency concerns and the need to attract more competitive investors.

The demand was made during a high-level stakeholders’ forum organised by the Nigerian National Petroleum Company Limited (NNPC) on Friday. Participants, including industry operators, financial institutions, and civil society groups, expressed dissatisfaction with the initial bidding process and urged the government to restart the exercise to ensure broader participation and better value for the nation.

A leading oil and gas consultant, Dr. Adebayo Olawale, argued that re-opening the bid would enhance transparency and maximise returns. “The AKK pipeline is a strategic national asset. We need a competitive and transparent process that attracts the best partners and delivers optimal value to Nigeria,” he stated.

The $243 million stake represents a minority interest in the 614-kilometre pipeline designed to transport natural gas from the southern part of the country to power plants and industries in the northern region. The project is expected to boost domestic gas utilisation, generate revenue, and support industrial growth.

NNPC officials assured stakeholders that all concerns would be addressed. Group Chief Executive Officer, Mr. Mele Kolo Kyari, said the company remains committed to due process and value maximisation. “We are reviewing all inputs from stakeholders. The goal is to ensure the AKK project delivers maximum benefits to Nigerians,” Kyari noted.

The call for fresh bidding comes amid ongoing efforts to attract investment into Nigeria’s gas infrastructure as part of the government’s energy transition and industrialisation agenda. Analysts believe a transparent re-bidding process could unlock greater investor interest and accelerate project completion.

The Federal Government is expected to make a decision on the next steps in the coming weeks following further consultations with relevant parties. The AKK pipeline remains a critical component of Nigeria’s plan to harness its abundant gas resources for economic development.