Nigeria News

NIGERIA: WAPCo to recommence operation April 30

The West African Gas Pipeline Company (WAPCo), operator of the West African Gas Pipeline (WAGP) system, said it is set to recommence operations after a prolonged shut down, sequel to a loss of pressure in its pipeline around Lome in Togo six months ago.

The incident, which occurred on 28 of August, 2012, forced WAPCo to suspend all gas deliveries to its onshore stations as a result of the loss of pressure in its pipeline.

The management of the $1billion West African Gas Pipeline that transports gas from Nigeria to the Republic of Benin, Togo and Ghana, for power generation and other domestic uses said it hoped re-stream the shut down pipeline on April 30, 2013 according to planned activity.

Speaking with newsmen at the company’s premises in Ajido, Badagry area of Lagos State, the station supervisor, Mr. Agboola Olugbenga, said the system is still undergoing repairs and maintenance ahead of the planned re-streaming at the end of the month.

The pipeline runs from Itoki area of Ogun State and goes through Agido near Badagry in Lagos, passing through 33 Nigerian communities, to neighbouring countries.

N-Gas, which is jointly-owned by Shell, Chevron and the Nigerian National Petroleum Corporation (NNPC), buys gas from oil companies in Nigeria, and transport the gas to its customers in Benin, Togo and Ghana, through the pipeline.

The International Project Agreement (IPA) signed in May 2003, by WAGPCo and the Government of Benin, Ghana, Nigeria and Togo, with the Secretariat of the ECOWAS as witness, provides that N-Gas be allocated a space in the pipeline that could transport up to 200million standard cubic per day of gas (200mmscf).

Before the August 28 incident in 2012, N-Gas was being allocated 134mmscf space in the 475mmscf capacity pipeline but could only deliver about 60mmscf of gas to the pipeline, leaving the $1billion facility to be sub-optimally utilised.

Due to the non-utilisation of the pipeline by N-Gas, sub-regional ministers, otherwise referred to as the Committee of Ministers of the West African Countries involved in the pipeline project plan to amend the IPA to enable other entities to use the pipeline.

Shareholders in the West African Gas Pipeline Company (WAGPCo), include Chevron, Shell, NNPC, Volta River Authority, BenGaz and Soto Gaz.

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