An intergovernmental agreement (IGA) on a planned $25 billion Nigeria-Morocco gas pipeline will be signed this year, the head of Morocco’s hydrocarbons and mining agency (ONHYM) said.
Agreed a decade ago, the project – known as the African Atlantic Gas Pipeline – would run 6,900 km on a hybrid offshore-onshore route with a maximum capacity of 30 billion cubic metres (bcm), including 15 bcm to supply Morocco and support exports to Europe, ONHYM’s Amina Benkhadra told Reuters by email.
The pipeline, which has the backing of the Economic Community of West African States (ECOWAS), has completed its feasibility study and front-end engineering design (FEED) stages.
Following the intergovernmental agreement, a high authority for the pipeline will be established in Nigeria, bringing together ministerial representatives from each of the 13 participating countries to provide political and regulatory coordination, Benkhadra said.
A project company will also be created in Morocco as a joint venture between ONHYM and the Nigerian National Petroleum Company (NNPC) to lead the execution, financing and construction phase, she said.
The pipeline would spur economic integration across West Africa by expanding electricity generation and facilitating industrial and mining development, while helping Morocco position itself as an energy bridge between Africa and Europe, she said.
Initial segments of the project would connect Morocco to gas fields in Mauritania and Senegal, and link Ghana to Cote d’Ivoire further south, before a final segment connects Ghana to Nigeria’s gas fields, she said.
First gas from the initial phases is expected in 2031, Benkhadra said.
“The project does not rely on a single global final investment decision,” she said, adding that each segment is designed to be developed as “standalone system” to allow for early value build up, she said.
“The project is attracting strong interest due to its scale, its phased structure, and its strategic positioning,” Benkhadra said.
REUTERS
