NNPC To Boost Pipeline Efficiency And Security With Cutting-Edge Tech Innovations

The Nigerian National Petroleum Company Limited (NNPC) announced on Thursday that it is working on modernizing the country’s crude oil and gas pipeline infrastructure to improve security and reduce costs. The initiative will involve significant investments in technology,…READ MORE…

aimed at upgrading existing oil and gas transportation networks to align with global standards.

Speaking at the 2024 Nigeria International Pipeline Technology and Security Conference (NIPITECS) in Abuja, Mele Kyari, the Group Chief Executive Officer (GCEO) of NNPC, outlined plans to incorporate advanced technologies such as fibre optics, geo-tagging, and radio frequency monitoring to enhance pipeline integrity and security.

The NNPC operates over 5,120 kilometers of pipelines across Nigeria, which are responsible for supplying crude oil to state-owned refineries and transporting refined products to distribution depots. However, many of these pipelines have been subjected to vandalism, sabotage, and the effects of aging, with some pipelines in operation for over 60 years.

Represented by Folorunso Kareem, Managing Director of NNPC’s subsidiary Nigerian Pipelines and Storage Company Limited (NPSC), Kyari highlighted that the national oil company manages eight pump stations and numerous product depots and terminals across the country to ensure optimal flow rates and pressures.

To improve pipeline reliability, NNPC has implemented a program that includes pipeline repairs and security and maintenance contracts. These contracts also cover minor repairs to prevent leakages, with penalties for contractors when leakages exceed one percent, a standard that has reduced pipeline leakages in key areas such as Warri and Port Harcourt.

Kyari noted that while the current security measures incur high costs, a new pipeline strategy will incorporate high-integrity, low-risk pipelines and advanced monitoring technologies to reduce expenditures. The construction of these new pipelines will be funded through private investment under a Build-Operate-Transfer (BOT) model, with a throughput fee structure designed to provide a return on investment.

He emphasized that pipelines are essential to the country’s economic development and environmental sustainability, enabling the safe and efficient transportation of crucial resources like oil and gas. NPSC’s pipeline network, the largest in Africa, will play a vital role in Nigeria’s energy security and industrial growth.

Ekperikpe Ekpo, the Minister of State for Petroleum (Gas), underscored the importance of pipelines for Nigeria’s economic and industrial advancement. He also acknowledged the challenges of pipeline security, noting that vandalism, sabotage, and theft continue to hinder the full potential of the nation’s pipeline infrastructure.

Ekpo assured that the government would continue to deploy innovative technologies and refine security protocols to address emerging threats and safeguard pipeline assets.

Geoff Onuoha, Chairman of the Board of Trustees (BoT) of the Pipelines Professionals Association of Nigeria (PLAN), emphasized the role of the association in promoting best practices, professionalism, and information sharing within the pipeline industry to ensure safer operations and better regulations.

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