Wrap Text
Oando Awarded EPC Mandate for AKK Pipeline
Oando PLC
(Incorporated in Nigeria and registered as an external company in South Africa)
Registration number: RC 6474
(External company registration number 2005/038824/10)
Share Code on the JSE Limited: OAO
Share Code on the Nigerian Stock Exchange: UNTP
ISIN: NGOANDO00002
("the Company")
Oando PLC Awarded Engineering, Procurement and Construction (EPC) Mandate to Develop Ajaokuta-
Kaduna-Kano Gas Pipeline Project by the Nigerian Petroleum Corporation (NNPC)
April 19, 2018 (Lagos, Nigeria) — A two party consortium consisting of Oando PLC ("Oando"), in
conjunction with its midstream affiliate, Axxela Limited ("Axxela") (formerly known as Oando Gas &
Power) and Oilserv Limited, has been awarded the Engineering, Procurement, Construction (EPC)
mandate for the Ajaokuta – Abuja portion (Lot 1) of the Ajaokuta-Kaduna-Kano Pipeline system (the "AKK
Pipeline") by the Nigerian National Petroleum Corporation ("NNPC").
The contract award follows an extensive due diligence process conducted by the NNPC following a
submission by Oando and Oilserv in 2013 in response to an Expression of Interest for a contractor-
financed EPC development of the AKK Pipeline Project.
Oando’s Group Chief Executive and Axxela Chairman, Jubril Adewale Tinubu, said: "Our long-standing
achievements and aspirations in the gas and power sector are testament to our desire to continuously
provide innovative and integrated energy solutions across sub-Saharan Africa. The award of the Ajaokuta
– Abuja portion of the AKK Pipeline Project also underscores our position as the partner of choice for
investors, regulators, and key stakeholders as gas continues to gain prominence as a key driver for the
region’s economic empowerment."
The US$727million Ajaokuta-Abuja Pipeline development is a 215km gas infrastructure with associated
facilities such as Metering/Terminal Gas Station, Pigging Station, Block Valve Stations etc.
The development of the AKK grid is a manifestation of the Gas Infrastructure Blueprint in the Nigerian
Gas Master Plan, which seeks to extend the existing gas transmission network and achieve connectivity
between the East (gas reserves) and the North (demand centres); serve new customers in the Northern
regions; and bridge the shortfall in the Western region.
Commenting on the contract award, Axxela CEO, Bolaji Osunsanya, said: "As forerunners in the sector,
we remain actively committed to the long term realisation of the Nigerian Gas Master Plan. The
development of critical gas pipeline infrastructure and a far-reaching national grid remains pivotal to the
country’s industrialization and economic empowerment. Consequently, the implementation of the AKK
Pipeline Project will enable power-starved communities across the northern region have greater access to
electricity, while providing stranded commercial and industrial customers with a cleaner and more efficient
source of energy."
In a bid to aggressively expand its operational footprint and further create value-adding opportunities in
the gas and power space, Oando divested a portion of its erstwhile midstream vehicle, Oando Gas &
Power to Helios Investment Partners LLP ("Helios"), a premier Africa-focused private investment firm.
Oando Gas & Power subsequently rebranded as Axxela.
Axxela remains the pioneer developer of Nigeria’s foremost natural gas distribution network and the
largest private sector gas distributor. The company is also extending its gas advantage to identified
customers in neighbouring Benin, Togo, and Ghana with a target to deliver over 100 million standard
cubic feet per day ("mmscf/d") via its newly acquired shipper status on the West Africa Gas Pipeline to
fuel power plants, commercial entities and residential homes.
According to NNPC, awards for the three lots on the AKK Pipeline Project were made to three selected
consortia to facilitate a timely delivery of the gas network.
For more information, please contact:
Ayotola Jagun
Chief Compliance Officer & Company Secretary
ajagun@oandoplc.com
Alero Balogun
Head, Corporate Communications
albalogun@oandoplc.com
For: Oando PLC
Ayotola Jagun
Chief Compliance Officer & Company Secretary
The Wings Complex, 17a Ozumba Mbadiwe Avenue
Victoria Island Lagos, Nigeria
Lagos, April 19, 2018
Sponsor: Sasfin Capital ( a member of the Sasfin group)
Date: 19/04/2018 01:33:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
Sharenet Sites 
