The ex-corps member had boarded a taxi from Bogor to Tafawa Balewa when the driver ran into a roadblock mounted by the herdsmen around 8pm.
The herdsmen allegedly fired on the taxi but the driver, identified as Isa Iliya, managed to escape with gunshot wounds in his hands and legs.
The herdsmen then pounced on Olugwai and attacked her with machetes.
After killing her, they set her corpse ablaze.
Olugua was said to have finished her national youth service programme six months ago at the Agriculture Department of Tafawa Balewa Local Government.
Commissioner of Police, Bauchi State Command, Mr. Ikechukwu Aduba, who confirmed the incident, said it was part of secret killings that had been going on since the police botched an attack in Tafawa Balewa.
Aduba also said that on Thursday, around 11.45am, unidentified gunmen killed Hassan Maigoro at Ginzum Bogoro within Tafawa Balewa.
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