OPEC Funds Has Agreed to Finance the Nigeria-Morocco Submarine Pipeline Project

The OPEC Fund for International Development, on Sunday, May 1, 2022, agreed to finance Phase II of the feasibility studies involving the Morocco-Nigeria submarine gas pipeline project, Moroccan authorities reported.

According to the authorities report, the paperwork for the $14.3 million provided by the OPEC fund to the National Office of Hydrocarbons and Mines (ONHYM) was signed on Friday, April 29, by Morocco’s Economy and Finance Minister, Nadia Fettah, alongside ONHYM Managing Director, Amina Benkhadra, and OPEC Managing Director, Abdulhamid Al khalifa.

The feasibility comes ahead of the construction process for one of the world’s longest offshore pipelines connecting two north African countries, Nigeria and Morocco. Part of the project’s funding will be from the Islamic Development Bank (IDB).

In terms of scope, the study covers the entire documentation and implementation process for the Nigeria-Morocco Gas Pipeline (NMGP) project and finalises the relevant financial, technical, and legal analyses.

The famous NMGP Strategic Project was initiated in 2017 upon the signing of a corporational agreement by President Muhammadu Buhari and King Mohammed VI. The NMGP is part of the efforts focusing on integrating and improving the region’s socio-economic development as well as enhancing competitiveness.

Apart from improving the countries’ socio-economic development, the project also aims to boost the region’s economic potential through the promotion of the development of job-creating industries, the use of reliable and sustainable energy, reduction of gas “flaring”, and economic development in North-West Africa.

The overall FEED services will be managed by Intecsea BV.

“Being part of a project that not only looks towards sustainability, but also contributes to boosting regional economy and supports the development of local communities is an incredible opportunity,” said Ping Liu, Managing Director of Intecsea BV.

“The NMGP is a project that reflects our purpose of delivering a more sustainable world. We look forward to working with ONHYM and NNPC as we journey into a new chapter for West Africa.”