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Nairametrics
Home Companies Corporate deals Deal Signals

Nigeria, Morocco to sign $25bn transcontinental gas pipeline deal this year

Emmanuel Azubuike by Emmanuel Azubuike
April 14, 2026
in Deal Signals, Energy, Sectors
Nigeria, Morocco to sign $25bn transcontinental gas pipeline deal this year
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Nigeria and Morocco are set to sign an intergovernmental agreement this year for the $25 billion Nigeria-Morocco gas pipeline project, marking a major step toward advancing one of Africa’s most ambitious energy infrastructure plans.

This was disclosed by Amina Benkhadra, Director-General of Morocco’s Office National des Hydrocarbures et des Mines, in a report by Reuters on Monday, based on comments she provided to the news agency.

Known as the African Atlantic Gas Pipeline, the project will span about 6,900 kilometres across a mix of offshore and onshore routes, with the capacity to transport up to 30 billion cubic metres of gas annually, including volumes earmarked for Morocco and exports to Europe.

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What they are saying 

In an email to Reuters, Benkhadra said the upcoming agreement would strengthen coordination among participating countries and ensure smoother implementation of the project.

  • “Following the intergovernmental agreement, a high authority for the pipeline will be established in Nigeria, bringing together ministerial representatives from each of the 13 participating countries to provide political and regulatory coordination,” she said. 

She added that the pipeline is designed to serve both regional and international markets, positioning Morocco as a key energy link between Africa and Europe.

  • “The African Atlantic Gas Pipeline will run along a hybrid offshore-onshore route covering approximately 6,900 kilometres. It will not only supply Morocco but also support exports to Europe, positioning Morocco as a key energy bridge between Africa and Europe,” she said. 

Benkhadra also noted that the project would be executed in phases, allowing different segments to be developed independently to enable early economic returns rather than waiting for a single final investment decision.

More insights 

The Nigeria-Morocco pipeline is expected to have a maximum capacity of 30 billion cubic metres annually, with about half of this volume allocated for Morocco’s domestic use and exports to Europe.

  • Backed by the Economic Community of West African States (ECOWAS), the project will connect 13 countries along the West African coast, making it one of the largest cross-border energy projects on the continent.
  • To drive execution, a dedicated project company will be established as a joint venture between Morocco’s hydrocarbons agency and the Nigerian National Petroleum Company Limited (NNPC Ltd), with responsibility for financing, construction, and overall delivery.

The pipeline is expected to boost electricity generation, support industrialisation, and deepen economic integration across West Africa, while also positioning the region as a strategic gas supplier to global markets.

What you should know 

The Nigeria-Morocco gas pipeline has evolved over several years through multiple agreements and stages of development.

Initial memoranda of understanding were signed between both countries in 2016 and 2018, laying the groundwork for the project before broader regional participation gained traction in 2022.

  • In June 2022, the Federal Executive Council (FEC) approved NNPC to execute an MoU with the Economic Committee of West African States, ECOWAS, for the construction of the gas pipeline to take gas from West African countries through Morocco to Spain and Europe.
  • In December of that year, NNPC signed a memorandum of understanding (MoU) with five additional African countries for the Nigeria-Morocco gas pipeline project.
  • In March of 2024, Mele Kyari, the then Group CEO of NNPC, disclosed that the Final Investment Decision (FID) on the $25 billion Nigeria-Morocco gas pipeline would be made in December 2024.

Despite progress, the project has faced delays linked to financing complexities and cross-border coordination challenges, making the planned agreement a crucial milestone in moving it toward execution.

The renewed push also comes as Nigeria advances domestic gas infrastructure projects, including the $2.8 billion AKK pipeline expected to begin supplying gas to Abuja by July.

Emmanuel Azubuike

Emmanuel Azubuike

Emmanuel Azubuike is a human interest journalist based in Lagos, Nigeria. With over four years of experience in journalism, he focuses on telling deeply reported stories at the intersection of markets, government policy, and technological advancement — and how they shape everyday lives.

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