Libya and Nigeria have agreed to prepare an MoU to conduct technical and economic feasibility studies on Nigeria’s plan to implement a pipeline project to transport gas produced from its fields to export gas to Europe via Libya.
The news was revealed by the Tripoli based Libyan Ministry of Oil and Gas last Friday (20 September) after Acting Oil and Gas Minister Khalifa Abdel Sadeg held a consultative meeting with Ekperikpe Ekpo, Minister of State for Petroleum Resources (GAS) of Nigeria.
The meeting was held on the sidelines of GASTECH 2024 which is being held in Houston, Texas, from 17-20 September.
The Libyan Ministry of Oil and Gas said this project is expected to have a tremendous economic return on the Libyan state.
Background
It will be recalled that in September last year, the then Oil and Gas Minister Mohamed Aoun, had revealed at a press conference that his ministry had presented a study to the Libyan government for the proposed Nigeria gas pipeline to Europe, planned to run through Algeria, to run through Libya instead.
Libya and Nigeria have discussed the idea previously at APPO meeting
Speaking on the margins of the press conference, Minister Aoun’s Advisor, Ahmed Elghaber, had told Libya Herald that Libya and Nigeria’s Ministers of Oil and Gas had compared preliminary notes on the matter in a recent oil ministerial meeting of African Petroleum Producers Organisation (APPO). Elghaber said they explored possible plans to extend a desert-crossing pipeline from Nigeria to Europe crossing Libya and Niger.
Libyan cabinet authorised study
Consequently, Libya’s Cabinet had authorised the Oil and Gas Ministry to conduct a grass-root study of such a potential pipeline in coordination with Nigeria. However, Libya’s political stability is a prime factor in deciding the fate of this optional pipeline, Elghaber had stressed.
Gas pipeline would be highly valued by global gas market
On the back of the Ukraine war, any additional gas to European markets in the current gas supply market would be highly appreciated. Hence, if this pipeline is realized, it would be highly valued by the world’s gas supply market, he had added.
Two other options to deliver Nigerian gas to Europe
Aoun’s Advisor Elghaber explained that there are two other option to bring Nigerian gas to Europe. The first route is through Algeria, and this is a very likely route as the pipeline proposal is in a very advanced stage.
The other option is through series of Western African countries following the western African coast and reaching Spain through Morocco. This option seems to have passed the feasibility stage and has possibly become a viable project.