Niger Crisis threatens $13bn Trans-Saharan Gas Pipeline Project

August 25, 2023 at 9:43 PM
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NIAMEY:  Amidst the array of challenges confronting the African continent, one ambitious undertaking has engendered both hope and uncertainty for decades: The Trans-Saharan gas pipeline.

With estimated budget of $13 billion, this visionary venture aims to establish a conduit for Nigerian gas to reach energy-hungry European nations. Along its extensive 4,000-kilometer path, the project holds the potential not only to satisfy pressing energy needs but also to catalyze economic growth.

Nevertheless, a recent coup in Niger has cast a shadow of uncertainty over this grand vision, introducing a power struggle that threatens to undermine the pipeline’s progress.

The renewed contest between pro-democracy and pro-Russia factions in Niger has exacerbated tensions, leaving the project mired in increasing uncertainty.

This recent coup might well be the deciding factor, serving as a turning point that either halts the project or prompts a reevaluation and bolstering of its strategic significance.

Experts underline the transformative potential of the pipeline’s construction, which could reshape a region bereft of adequate infrastructure, generating employment opportunities across construction, engineering, and logistics sectors.

Efem Nkam Ubi, an associate professor at the Nigerian Institute of International Affairs, commented, “This infusion of economic activity would catalyze local development and skill-building efforts.”

The coup on July 26, 2023 after removing the President Mohamed Bazoum, by country’s presidential guard, the Economic Community of West African States (ECOWAS) imposed sanctions on the junta, demanding the reinstatement of democracy.

In response, Nigeria has shifted its focus from the politically precarious Trans-Saharan pipeline to the Nigeria-Morocco pipeline—a route endorsed by the Moroccan monarchy, the Nigerian presidency, and ECOWAS. This alternative promises a more secure avenue for energy transportation.

With another pipeline endeavor backed by PetroChina slated for completion by the end of 2023, the ripple effects of the coup stand to resonate widely.

This PetroChina-backed project aims to link Niger’s Agadem oilfield to Benin’s Cotonou port, poised to elevate the country’s oil production from 20,000 barrels to 110,000 barrels per day, fostering economic growth and infrastructure expansion.

Amidst these challenges, experts underscore the urgency of diplomatic solutions and dialogues over military interventions. “It is crucial for the participating nations to seek ways to address the Niger crisis,” emphasized Ubi, the Nigerian associate professor.

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