Gas
Nigeria seeks UAE backing for Nigeria-Morocco gas pipeline
Nigeria has approached the United Arab Emirates to secure funding support for the development of the multi-billion-dollar Nigeria-Morocco Gas Pipeline project.
Key points
- NNPC is engaging ADNOC of the UAE to back the estimated $25bn to $26bn pipeline project.
- The 6,800-km project aims to transport up to 30 billion cubic metres of gas annually across 13 Atlantic coastal countries.
- NNPC is also progressing with plans for the Trans-Saharan Gas Pipeline alongside discussions regarding a potential equity offering.
What happened
According to Leadership Newspapers, Nigeria has initiated discussions with the United Arab Emirates to seek financial backing for the Nigeria-Morocco Gas Pipeline. The Nigerian National Petroleum Company Limited (NNPC) is leading the engagement, inviting the Abu Dhabi National Oil Company (ADNOC) to invest in the infrastructure project.
Speaking at the ADIPEC summit in Abu Dhabi, NNPC Group Chief Executive Bashir Bayo Ojulari noted that the talks follow an intergovernmental agreement signed in September by nations along the pipeline route. The 6,800-kilometre project, developed in partnership with Morocco's ONHYM, is projected to cost between $25 billion and $26 billion. It is designed to transport up to 30 billion cubic metres of gas annually through 13 Atlantic coastal countries, with half of that volume intended for Morocco and onward supply to Europe.
Ojulari explained that construction would proceed in phases, integrating the existing West African Gas Pipeline, where NNPC holds a 24.9 per cent stake. Additionally, progress continues on the Trans-Saharan Gas Pipeline, a $10 billion to $13 billion initiative involving Nigeria, Niger, and Algeria. Ojulari stated that discussions regarding a final investment decision for the Trans-Saharan line are anticipated in 2027, following the commencement of the Algerian section's construction in June 2026, as reported by Zawya.
Regarding its corporate structure, NNPC has completed a baseline assessment using advisers who worked on Saudi Aramco's initial public offering. Reuters reported that the company is considering offering 5 per cent to 10 per cent of its equity primarily to the domestic market, though no formal timeline has been established.
Why it matters
Cross-border gas infrastructure is critical for monetising Nigeria's vast hydrocarbon reserves, which accounted for 85.9 per cent of the country's merchandise exports in 2025 according to World Bank figures. With domestic electricity consumption resting at a modest 140.6 kWh per person in 2024 and only 62.5 per cent of the population having access to electricity, large-scale gas projects serve both export markets and regional integration goals.
For energy investors and policymakers, securing external financing from major partners like the UAE remains essential for bridging the capital gap in capital-intensive African energy ventures. Diversifying export routes through projects like the Nigeria-Morocco pipeline and the Trans-Saharan link will reshape regional energy trade, provided that funding, security, and regulatory frameworks are successfully aligned across participating jurisdictions.
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 2024Written 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.
