Nigeria's Gas Ambitions Halted by Domestic Execution Deficit

Nigeria's ambitions to become a major player in the global gas market are being hindered by its inability to build infrastructure at scale. Despite having Africa's largest gas endowment, with over 200 trillion cubic feet of proven reserves, the country is struggling to deliver natural gas to meet domestic demand.

The Nigeria-Morocco Gas Pipeline, also known as the African Atlantic Gas Pipeline, spans thousands of kilometres across 13 countries and marks an important diplomatic milestone. However, Nigeria's own domestic gas network remains unfinished, with key pipelines such as the Ajaokuta-Kaduna-Kano pipeline and the OB3 pipeline being more than 90% complete but years behind schedule.

Nigeria's largest industrial consumers of gas have been forced to build their own alternative infrastructure due to the slow pace of the national network. For example, Aliko Dangote's East-West Offshore Gas Gathering System is a 1,100-kilometre offshore pipeline built to transport gas directly to his refinery and fertiliser plant.

Nigeria's earlier gas export projects, such as Brass LNG and Olokola LNG, have also struggled with execution deficits, cycling through partner withdrawals and financing challenges. The country's gas policy should prioritize completing the domestic natural gas network and implementing its gas utilisation strategy before pursuing international expansion.