Nigeria is close to setting up of a governance authority in Abuja, to begin another phase of development for the Nigeria-Morocco gas pipeline, a project estimated to cost between $25 billion and $26 billion.
To connect in the development process, Morocco is expected to set up a project company in Casablanca as the Nigerian National Petroleum Corporation Limited (NNPC) pushes for foreign capital inflow to address funding issues slowing the project.
Attracting investors and preparing for a final investment decision remain key priorities. The project’s estimated cost, the length of the route, and the number of countries involved make its financing structure critical to advancing from preparation to construction.
NNPC is considering a phased approach that would build partly on the existing West African Gas Pipeline (WAGP), which already connects Nigeria to Benin, Togo, and Ghana. The company intends to extend that infrastructure toward Sierra Leone before developing the rest of the corridor in stages. This approach is designed to demonstrate the network’s operational capabilities and generate revenue gradually, although it does not, by itself, guarantee the feasibility of the entire pipeline
The NNPC, is looking for international investors to help finance the Nigeria-Morocco gas pipeline, a project estimated to cost between $25 billion and $26 billion. Abu Dhabi National Oil Company (ADNOC) is among the potential partners, with discussions reportedly underway, according to NNPC Group CEO Bashir Bayo Ojulari.
Ojulari said NNPC was in talks with several investors to arrange financing for the pipeline, which Nigeria is developing jointly with Morocco’s National Office of Hydrocarbons and Mines (ONHYM).
ADNOC’s inclusion does not mean the Emirati company has agreed to invest. It only confirms that the group is among the potential partners approached by Nigeria to help raise the capital needed for the project.
ADNOC’s potential interest is closely tied to its international investment strategy. In November 2024, the Emirati group established XRG, an international investment company focused on natural gas, chemicals, and low-carbon energy, among other areas. Its gas business is designed to build an integrated portfolio of assets and serve global demand.
The XRG’s investments illustrate that strategy. In Mozambique, the company completed the acquisition of a 10 per cent stake in the Area 4 concession in the Rovuma Basin in March 2025. The transaction marked ADNOC’s first entry into Mozambique’s gas market.
In the United States, XRG announced in January 2026 that it had acquired an additional 7.6 per cent stake in Trains 4 and 5 of the Rio Grande LNG project in Texas. That investment came on top of its initial indirect 11.7 per cent growth interest in the terminal’s first three trains. These holdings give the group a presence across several stages of the gas industry, from access to resources to liquefied natural gas (LNG) production and sales. That experience may prove valuable for a cross-border project such as the Nigeria-Morocco pipeline.
ADNOC is also strengthening its commercial operations. In July 2026, the group introduced a platform that combines the LNG marketing activities of ADNOC Gas and XRG with those of ADNOC Trading. The initiative is intended to increase the group’s marketable LNG volumes to 47 million metric tons per year by 2035, reflecting its ambitions in international gas trade.
For NNPC and ONHYM, the next challenge is to turn the project’s institutional and technical progress into firm financial commitments. The pipeline is expected to stretch approximately 6,800 to 6,900 kilometers across 13 African countries, with an annual transport capacity of 30 billion cubic meters of gas. It is designed to serve regional markets and provide access to Europe through a connection to the Maghreb-Europe pipeline between Morocco and Spain.
Several preparatory stages have already been completed. Front-end engineering design (FEED) studies are finished, route surveys have been carried out, and environmental and social assessments are well advanced.
In July 2026, the signing of an intergovernmental agreement by member states of the Economic Community of West African States (ECOWAS) also marked progress toward establishing the project’s institutional framework.
The next steps include setting up a project company in Casablanca and a governance authority in Abuja. Attracting investors and preparing for a final investment decision remain key priorities. The project’s estimated cost, the length of the route, and the number of countries involved make its financing structure critical to advancing from preparation to construction.