The Sagamu–Ibadan natural gas pipeline project has reached 80% completion, marking a significant milestone in the South-West industrialisation roadmap. Nagendra Verma, the Managing Director of NIPCO Gas Limited, disclosed the figure on Friday, 28 February 2026, confirming that the 80-kilometre, 18-inch pipeline is on track for delivery by July 2026. The project is being executed in partnership with NNPC Gas Marketing Limited (NGML) and is designed to provide a stable, cost-effective energy source for manufacturers in Ogun and Oyo states. Once operational, the pipeline will connect major industrial clusters to Nigeria’s southern gas fields, significantly reducing the reliance on expensive alternative fuels like diesel.
Technical teams have successfully cleared major hurdles, including the complex terrain between Sagamu and the Ibadan corridor, despite seasonal logistical challenges. The pipeline is expected to serve as a strategic backbone for the region’s manufacturing sector, supporting industries such as cement, steel, and food processing. NIPCO Gas has indicated that the infrastructure will not only improve industrial productivity but also enhance energy security by decentralising gas distribution. In addition to the main Ibadan line, complementary projects are underway to extend gas penetration to Abeokuta, further deepening the reach of the “Decade of Gas” initiative in the Southwest.
The project aligns with the Federal Government’s broader Gas Master Plan 2026, which aims to increase domestic gas utilisation to 12 billion cubic feet per day by 2030. Industry analysts suggest that the completion of the Sagamu–Ibadan link will lower production costs for existing manufacturers and attract fresh foreign direct investment into the region. The move is also seen as a critical component of the national transition to compressed natural gas (CNG), which offers significant fuel savings for commercial transport fleets. The Ogun State Government has expressed strong support for the initiative, citing its potential to boost internally generated revenue through increased economic activity.
