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Tinubu Urges Oil Firms to Give Nigerian Engineers More Contracts as Lee Engineering Builds Gas Compressor Stations

President Bola Tinubu has urged international oil companies operating in Nigeria to award more contracts to capable indigenous engineering and manufacturing firms, saying his Nigeria First policy should create more local business opportunities and skilled jobs.

Tinubu made the call on Thursday at the State House in Abuja while receiving Leemon Ikpea, founder and chairman of Lee Engineering Group. Details of the meeting were disclosed by his Special Adviser on Information and Strategy, Bayo Onanuga, in a statement on the company’s role in expanding Nigeria’s gas infrastructure.

Lee Engineering is handling the engineering, procurement and construction of two midline compressor stations in Edo State. The facilities are intended to increase operating pressure along the Escravos–Lagos Pipeline System (ELPS), enabling it to deliver gas at its designed capacity of 2.3 billion standard cubic feet per day.

According to the statement, the pipeline’s designed capacity was increased from 1.1 billion standard cubic feet per day following the ELPS II expansion. The new compressor stations are expected to help improve gas supply to power plants and industries along the pipeline corridor.

The project could also support additional gas deliveries to neighbouring West African countries through the West African Gas Pipeline, potentially creating more export revenue for Nigeria. However, the expected benefits will depend on the stations’ completion, commissioning and operational performance.

“President Tinubu said Nigeria First must translate into more contracts for capable Nigerian firms, greater use of locally manufactured equipment and more skilled jobs for Nigerians,” Onanuga said.

The President also urged international oil companies to develop stronger partnerships with Nigerian engineering firms that have demonstrated their ability to execute complex projects. He pointed to his administration’s 2024 executive orders and directives on local content, contracting costs and approval timelines as measures intended to attract investment and reduce delays.

Ikpea welcomed the policy and said Lee Engineering was producing some components for the compressor stations at its fabrication yard in Warri, Delta State. He said the facility had advanced fabrication equipment and argued that Nigerian companies had invested in technology, machinery and skilled workers to handle projects previously awarded to foreign contractors.

Tinubu reaffirmed his administration’s intention to develop Nigeria’s gas resources to support industrial activity, improve electricity supply, create employment and increase export earnings. The project’s contribution to those goals will depend on delivery of the compressor stations and the extent to which additional pipeline capacity translates into reliable gas supplies.

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