Will Morocco-Nigeria Gas Pipeline Boost Our Forex Reserve?

Nigeria-Morocco energy Gas Pipeline project

It is public knowledge that the Nigeria-Morocco 5,600km Gas Pipeline, NMGP, most of which would be built offshore, would be connected to the existing Maghreb-Europe pipeline between Morocco and Spain — and the parallel hydrogen pipe would also be connected to Europe. It would also make use of existing gas pipelines between Nigeria and Ghana.

Facts have emerged that this pipeline will carry gas from Nigeria to Morocco (and Europe), running across 11 West African countries.

It will be recalled that the agreement for the Nigeria-Morocco Gas Pipeline project was originally signed by the two countries when President Buhari paid a state visit to Morocco in June 2018. The estimated cost for the project is US$ 25 billion.

The pipeline is to start in the Warri region in Nigeria and run north through Niger to Hassi R’Mel in Algeria. In Hassi R’Mel the pipeline is to connect to the existing Trans-Mediterranean, Maghreb–Europe, Medgaz and Galsi pipelines.

NMGP is 48 inches wide by 5,300 kilometers long (offshore) from Barss Island in the Niger Delta to Dakhla, Morocco, and 56 inches wide by 1,700 kilometers long (onshore) from Dakhla, Morocco to the Maghreb European Pipeline, MEP. It’s overall length is around 7,000 kilometers, with about 13 compressor stations.

Derails show that Nigeria’s Inland Basins which include Anambra, Benin, Benue Trough, Bida, and Chad hold potentially significant hydrocarbon reserves, with gas proven capacities.

Nigeria exported $8.52B in Petroleum Gas in 2021 with main destinations as China, Spain,  India,  France, and Portugal.

With a reserve base of 36.97 billion barrels of oil and 208.83 trillion cubic feet of gas which represeting 33% of Africa’s total gas reserves of 620 TCF, Nigeria is best described as a gas rich nation ranking number one in Africa in reserves with a life index of 94 years. This further means that Nigeria’s decade of Gas policy would support global energy security.

Nigeria exported 9.4 billion cubic meters (bcm) of LNG to Europe in 2022.

Indeed, King Mohammed VI considering the importance of NMGP,  reiterated Morocco’s commitment towards the gas pipeline project with Nigeria, stressing the potential benefits that it could bring not only to Africa but also Europe.

While underscoring the importance of the NMGP, the monarch in a speech commemorating the 48th anniversary of the Green March,  an annual event that celebrates Moroccans’ march against the Spanish colonization, emphasized the large-scale projects involving Morocco, including the pipeline project with Nigeria, which aims to benefit over 400 million people in West Africa

The pipeline is set to connect 11 countries in the region to benefit from Nigerian gas sources. While reiterating Morocco’s efforts in contributing to African development, the King acknowledged the challenges that hamper African countries’ advancement.

“The region along the Atlantic coast suffers from a significant deficit in infrastructure, and investment, despite skilled human capital and abundant natural resources,” the King said, stressing that Morocco has been working with other African countries to  tackle the situation.

What is most significant is the fact that The Morocco-Nigeria gas pipeline strategic project is part of that endeavour designed to promote regional integration as well as boost joint economic growth.

Morocco is set to host over 1,600 kilometers out of the project’s 5,600 kilometers.

Initiated first by King Mohammed VI and former Nigerian president Muhammadu Buhari in 2016, the pipeline seeks to promote regional integration as well as reinforcing African energy security.

The project is also generating unwavering support from many countries, which signed Memoranda of Understanding with Morocco’s and Nigeria’s petroleum and hydrocarbon companies.

Last year, several other countries signed agreements with Morocco, including Mauritania, Senegal, Gambia, Guinea Bissau, Sierra Leone, and Ghana.

It is noteworthy that as King Mohammed VI celebrates the project as a milestone for Africa, during last year’s Green March celebrations, the King said that the gas pipeline is a ”project for peace for African economic integration and for development: a project for the present and for the future generations.”

Undoubtedly, former President Buhari had broken the jinx and opened the door wide enough for PBAT to build upon in the spirit of unlimited boosting of the country’s foreign reserve, African integration and job creation. Indeed, the sky is our limit with this project to get Nigeria out of the doldrums.

 

MUSA ILALLAH EMEKA ANYAOKU STREET ABUJA musahk123@yahoo.com

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