Economy

Gov Makinde Inaugurates Gas Infrastructure Development Project

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Oyo State Governor, Engineer Seyi Makinde has flagged off the construction of the Oyo State Government (OYSG)-Shell Nigeria Gas Ltd (SNG) project to create a new gas distribution infrastructure network in the state.

The governor while performing the groundbreaking ceremony of the Gas Infrastructure Development and Distribution Project, held at the Kilometre 10, Lagos-Ibadan Expressway, Ibadan, said that his administration realised early enough that in order to engineer a modern Oyo State, it needed to engage the private sector and development agencies.

Governor Makinde said the gas infrastructure project when completed, would deliver gas to industrial, manufacturing and commercial companies.

He added that the project would also serve new emerging industrial corridors and industrial parks/zones, Independent Power Projects, and provide stable power generation for industrial and residential use within the state.

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He said:”We knew that to engineer a modern Oyo State, we must engage the private sector and development agencies.

“And now, look how far we have come. We have run very inclusive governance. Whether in Ibadan, Ogbomoso, Oke-Ogun, Oyo or even Ibarapa, you can point to state government projects in your zone.

“In fact, I have made it a point that when I meet people who say they are from Oyo State, I ask them where in Oyo. Once they name it, we can match their zone with a project.”

“Today, we are here to add another milestone to our achievements as we flag off the construction of the Oyo State Government (OYSG) and Shell Nigeria Gas Ltd (SNG) Gas Project. This project is for constructing a Pressure Reduction & Metering Station (PRMS).

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“Through this project, we will create a new gas distribution infrastructure network in Oyo State. This infrastructure will deliver gas to industrial, manufacturing and commercial companies. “It will also serve new emerging industrial corridors and industrial parks/zones, Independent Power Projects, and provide stable power generation for industrial and residential use within the state.

“People might ask, how much is Oyo State spending on this? Well, the project will be funded by SNG on a Build, Own, Operate, and Transfer (BOOT) basis. SNG will transfer the infrastructure to Oyo State after 15 years.

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Earlier, the Commissioner for Energy and Mineral Resources, Temilolu Ashamu, said the state would use gas to drive large-scale development and get Oyo state ahead of the curve.

The Managing Director, Shell Nigeria Gas, Mr Ed Ubong, told the gathering that the project will pump the first gas in the first quarter of 2024, adding that the company has already developed a gas master plan that would take gas to all corridors of Oyo State.

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