Posted by By Tayo Ajakaye on
Ocean and Oil Holdings (OOH) Limited (the parent company of Oando Plc) and Surburban Telecoms Limited are to deploy a fibre optic network along the 99.4-kilometre gas pipeline belonging to Gaslink in the ‘Greater Lagos Industrial Area'. Suburban has a National Long Distance Licence from the Nigerian Communications Commission (NCC).
Ocean and Oil Holdings (OOH) Limited (the parent company of Oando Plc) and Surburban Telecoms Limited are to deploy a fibre optic network along the 99.4-kilometre gas pipeline belonging to Gaslink in the ‘Greater Lagos Industrial Area'. Suburban has a National Long Distance Licence from the Nigerian Communications Commission (NCC).
The project will be executed by a Special Purpose Vehicle (SPV) jointly owned by Suburban and OOH, with the objective of providing broadband connection for the transmission of high-speed data, Internet access and related services to telecom service providers and large corporate customers in Lagos.
Both OOH and Suburban have a 50 per cent equity stake in the new company. THISDAY gathered that the partners are committed to investing N6.012 billion in the implementation and operation of the Metropolitan Access Network (MAN) in Lagos.
The SPV will have exclusive access to the 99.4-kilometre Gaslink pipeline route in Lagos - of which 57.3 kilometres is currently completed, along which it will deploy a high capacity fibre optic backbone.
Gaslink Nigeria Limited is a subsidiary of Oando Plc and is operator of the ‘Greater Lagos Industrial Area' gas pipeline franchise. The gas pipeline franchise area spans through Alausa, Ikeja, Ojota, Oregun Matori, Ilupeju, Iganmu, Isolo, Amuwo Odofin and Apapa.
The SPV to be formed by the joint venture will start off with the establishment of seven points of presence (POPs) all linked up through the fibre optic network in the Greater Lagos Area, but intends to extend the services through other POPs to be located in the Lagos metropolis (including Lagos Island, Victoria island and Ikoyi).
The resulting network will be tailored to providing and supportting the substantial communication needs of Nigeria's top bandwidth users, principally GSM operators, PTOs, Fixed Wireless providers, major corporations and other heavy consumers of Lagos connectivity services.
The company's initial and primary products will be high capacity interconnectivity/le-ased circuits. At a later stage, it intends to roll out additional services, including Internet Protocol Virtual Private network (IPVPN).
IPVN is a technology being pushed by big American telcos, AT&T, Sprint, Bellsouth and Verizon. They consider the technology to offer the best deal on the market and will far surpass the capabilities of a conventional frame circuit. It is a private network connecting any number of end points using private circuits and a shared core. It carries IP (voice, video and data) traffic and is regarded to be generally secured, flexible and scaleable.
The company is expected to commence the rollout of the services within the next three months. OOH is expected to invest N3.012 billion in the JV project, while Suburban's investment outlay is estimated at N3 billion.
The value of OOH's contribution includes covering Gaslink's Right of Way, digging, PVC laying and covering, construction of junction boxes; and implementation of the project's structure. Suburban's contribution includes the value of its increased customer base, equipment, operating cost; and infrastructure in all parts of the Lagos metropolis (excluding the Greater Lagos Area covered by the Gaslink Right of Way).
Suburban is a premier telecommunications service provider that supplies transmission capacity and services to telecom operators in the country. Its clientele base includes four of the GSM operators in Nigeria, fixed wireless carriers and PTOs. OOH is a leading principal investment company, and is the parent company of Oando Plc, a fully integrated energy conglomerate. The company has investments in various sectors in Nigeria, and is most active in property and infrastructure, oil and gas, electricity and telecommunications with the goal of achieving the leading position in the sectors in which it operates.