Overview of the Nigeria-Morocco Gas Pipeline
The ambitious project, known as the Atlantic African Gas Pipeline, was agreed upon a decade ago and is poised to significantly reshape the energy dynamics of West Africa. Stretching an impressive 6,900 kilometers, the pipeline will feature a hybrid marine and land route, boasting a maximum capacity of 30 billion cubic meters (bcm) of natural gas. This includes a provision of 15 bcm designated for Morocco, aimed at bolstering exports to Europe, as revealed by Amina Benkhadra of ONHYM in an email to Reuters.
Strategic Developments and Benefits
Endorsed by the Economic Community of West African States (ECOWAS), the pipeline project has successfully completed its feasibility studies and detailed engineering design phases (FEED). Following the intergovernmental agreement, a high authority will be established in Nigeria, comprising ministerial representatives from each of the 13 participating countries. This authority will be responsible for ensuring political and regulatory coordination throughout the project, as noted by Benkhadra.
Furthermore, a project company will be created in Morocco as a joint venture between ONHYM and the Nigerian National Petroleum Company (NNPC), tasked with leading the execution, financing, and construction phases. The pipeline is expected to enhance economic integration across West Africa by expanding electricity generation capabilities and facilitating industrial and mining development. Additionally, it will position Morocco as a vital energy bridge between Africa and Europe.
The initial segments of the project are set to connect Morocco with gas fields in Mauritania and Senegal, while linking Ghana with Côte d'Ivoire further south. A final segment will establish a connection between Ghana and the gas fields in Nigeria, as explained by Benkhadra. The first gas supplies from these early phases are anticipated to commence in 2031. Notably, the project is designed to allow each segment to develop as an 'independent system,' fostering early value generation, rather than relying on a singular final investment decision.
While definitive financing commitments have yet to be secured, the project is expected to mobilize a blend of equity and debt led by the project company. Benkhadra concluded by highlighting the strong interest the project is attracting due to its scale, phased structure, and strategic positioning.
As reported by es.marketscreener.com.
