NNPC courts investors for Nigeria–Morocco gas pipeline, eyes Trans-Saharan FID talks in 2027

what happened

Nigeria's state-owned oil company NNPC is actively looking for investors for a planned $25-26 billion gas pipeline to Morocco. CEO Bashir Bayo Ojulari said the company expects to start discussing a final investment decision on a separate Trans-Saharan line next year. According to Reuters, the ultimate destination of both routes is the European market.

The Nigeria–Morocco pipeline is designed to carry up to 30 billion cubic metres a year. Ojulari said potential partners include the UAE's ADNOC. NNPC said 15 billion cubic metres would go to Morocco and onward to Europe through the existing Maghreb–Europe pipeline. Ojulari also said Nigeria, Algeria and Niger have agreed on the funding structure for the Trans-Saharan project.

NNPC has not set an IPO timeline. It has completed a business assessment but still needs to close gaps in governance and corporate structure. Ojulari told Reuters earlier that the company is considering selling 5 to 10 percent of its equity.

why it matters

For markets, this is mainly a long-term signal of growing gas supply from West Africa to Europe. The projects run over several years, so an immediate effect on gas prices is unlikely. The news matters for investors in pipeline infrastructure and for European plans to diversify gas imports.

market impact

European gas: long-term supply expansion, but the market effect is pushed back by years

tags

instruments