Gas
Nigeria seeks investors for regional gas pipeline
The Nigerian National Petroleum Company Limited is actively engaging international investors to secure financing for the multi-billion-dollar infrastructure project.
Key points
- Project costs are projected to fall between $25 billion and $26 billion.
- Discussions involve potential backers such as the Abu Dhabi National Oil Company.
- The infrastructure aims to transport up to 30 billion cubic meters of natural gas annually.
What happened
According to Yabiladi.com, the Nigerian National Petroleum Company Limited is holding discussions with international partners to finance the construction of a major transnational gas conduit. Bashir Bayo Ojulari, the chief executive of the state-backed corporation, shared details regarding the funding initiative during the ADIPEC energy gathering held in Abu Dhabi. He noted that engagements involve prospective entities, including the Abu Dhabi National Oil Company.
This funding drive follows a formal agreement endorsed in September by nations situated along the planned corridor. The infrastructure venture, pursued in partnership with Morocco's National Office of Hydrocarbons and Mines, is designed to channel natural gas from West African producers toward North African markets and onward connections.
Project scope and phasing
The initiative aims to link substantial deepwater hydrocarbon resources governed under production-sharing agreements involving major operators such as ExxonMobil, Shell and Total. Planners intend to integrate nearly 20 trillion standard cubic feet of gas reserves into a wider distribution network to serve regional and external buyers.
Engineers plan to execute the rollout in sequential stages by leveraging existing transmission assets, specifically the operational West African Gas Pipeline. The expanded network is intended to stretch over 6,800 kilometres, combining offshore and onshore segments. Front-end engineering design studies, route surveys and preliminary environmental assessments were concluded by mid-2026.
Why it matters
For policymakers and energy investors in Nigeria and across the African continent, securing capital for large-scale infrastructure remains critical for monetising vast hydrocarbon resources. World Bank figures for 2025 indicate that fuel exports account for 85.9 percent of merchandise exports in Nigeria, highlighting a heavy reliance on extractive commodities. Meanwhile, domestic electricity use per person stood at just 140.6 kWh in 2024, compared to a global average of 3708.5 kWh, underscoring the urgent need for domestic energy commercialisation and infrastructural expansion.
Furthermore, expanding regional gas transmission could enhance energy access and supply stability across participating territories. With Henry Hub gas spot prices recorded at $2.63 per MMBtu by the US Energy Information Administration in November 2026, developers are positioning long-term supply projects to capture international demand while supporting regional industrialisation frameworks.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Gas is the flexible backbone of many grids and the designated transition fuel in many national plans, from LNG trade to domestic LPG and CNG. Supply security and pricing drive both power reliability and emissions.
9.6% of electricity in Morocco came from gas in 2024Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
