HomeNewsNigeria Needs $22bn for Gas Pipelines Project – NNPC

Nigeria Needs $22bn for Gas Pipelines Project – NNPC

Nigeria Needs $22bn for Gas Pipelines Project – NNPC

Nigeria may need up to $22 billion in new investments to deliver planned gas pipeline projects under the Nigerian National Petroleum Company Limited’s (NNPC) Gas Master Plan 2026, unveiled in Abuja on January 30.

The plan, analysed by The PUNCH, highlights the scale of infrastructure required to deepen domestic gas use and expand export capacity.

“Current gas pipeline infrastructure in development plans could require up to $22bn investment,” the document stated.

Building on the original 2008 Gas Master Plan, the new strategy sets ambitious targets of 10 billion standard cubic feet per day (bcf/d) by 2027 and 12 bcf/d by 2030, while aiming to unlock more than $60 billion in investments across the gas value chain.

Nigeria holds Africa’s largest proven gas reserves at 210 trillion cubic feet, yet ranks only 16th globally in production.

In 2025, output stood at 7.5 bcf/d, but only 60% was commercialised, with over 10% flared and nearly 30% reinjected.

The plan identifies 30 priority projects for completion within three years and another 30 over the next decade, including major pipelines such as the Ajaokuta-Kaduna-Kano (AKK) and OB3 lines. These are expected to strengthen supply to power plants, industries, households, and LNG export terminals.

Ekpei Ukam, focal person for the plan’s implementation, said NNPC is shifting from fragmented projects to an integrated gas hub model.

“We are moving away from a project-by-project approach and adopting an integrated gas hub concept. This will optimise costs and assure increased value,” he explained.

The plan also prioritises demand growth in gas-based industries while balancing domestic and export markets.

LNG remains dominant, accounting for about 70% of exports, with Nigeria LNG historically responsible for over 95% of volumes.

Officials say the plan benefits from the clarity of the Petroleum Industry Act, providing a regulatory framework to attract investment.

Ukam described it as a bridge between Nigeria’s “Decade of Gas” initiative and long-term ambitions to make gas the fuel of choice for economic development.

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