Intergovernmental Deal On $25bn Nigeria-Morocco Gas Pipeline Due This Year
The intergovernmental agreement (IGA) on a planned $25 billion Nigeria-Morocco gas pipeline will be signed this year, according to the head of Morocco’s hydrocarbons and mining agency (ONHYM). Advertisement googletag.cmd.push(function() { googletag.display("div-gpt-ad-1672569656851-0"); }); Known as the African Atlantic Gas Pipeline, the project, agreed a decade ago, would run 6,900 km on a hybrid offshore-onshore route with a maximum capacity of 30 billion cubic metres (bcm). The pipeline, which has the backing of the Economic Community of West African States (ECOWAS), also includes a 15 bcm to supply Morocco and support exports to Europe, ONHYM’s Amina Benkhadra told Reuters by email. 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. The feasibility study and front-end engineering design (FEED) stages have already been completed. Advertisement googletag.cmd.push(function() { googletag.display("div-gpt-ad-1672569913499-0"); }); 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. While helping Morocco position itself as an energy bridge between Africa and Europe, the pipeline would spur economic integration across West Africa by expanding electricity generation and facilitating industrial and mining development, she said. According to her, 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. Advertisement googletag.cmd.push(function() { googletag.display("div-gpt-ad-1672587799169-0"); }); READ ALSO: Dollar Slips On Hopes Of US-Iran Resolution 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. No final funding commitments have been secured yet, she said, adding that the financing structure will be led by the project company, which will mobilise a mix of equity and debt. Advertisement googletag.cmd.push(function() { googletag.display("div-gpt-ad-1672587060870-0"); }); “The project is attracting strong interest due to its scale, its phased structure, and its strategic positioning,” Benkhadra said. Join Our Whatsapp Channel To join: Simply click on the link below & turn on notifications to get the latest updates Subscribe to Our Newsletter In This Article: Nigeria-Morocco Gas Pipeline More Stories No related articles found /* * * CONFIGURATION VARIABLES: EDIT BEFORE PASTING INTO YOUR WEBPAGE * * / var disqus_shortname = 'channelstelevision'; // Required - Replace example with your forum shortname / * * DON'T EDIT BELOW THIS LINE * * */ (function() { var dsq = document.createElement('script'); dsq.type = 'text/javascript'; dsq.async = true; dsq.src = '//' + disqus_shortname + '.disqus.com/embed.js'; (document.getElementsByTagName('head')[0] || document.getElementsByTagName('body')[0]).appendChild(dsq); })(); Please enable JavaScript to view the comments powered by Disqus.