Nigeria signed an agreement this month with Equatorial Guinea for the construction of the Gulf of Guinea Gas Pipeline Project. A joint regional pipeline, the project will transport natural gas from Nigeria for processing at Equatorial Guinea’s Punta Europa facility. The project is a testament to the role cross-border infrastructure plays in monetization oil and gas in Africa.

Amid accelerated infrastructure development in Nigeria, Farouk Ahmed, CEO of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), has joined the African Energy Week (AEW): Invest in African Energy 2024 conference as a speaker. During the event, – scheduled for November 4-8 in Cape Town – Ahmed will deliver key insights into Nigeria’s regulatory innovations and infrastructure developments driving regional energy integration.

AEW: Invest in African Energy is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit www.AECWeek.com for more information about this exciting event.

Recently, the NMDPRA updated the Nigerian Gas Transportation Network Code to ensure optimal accessibility of natural gas across Nigeria. The code governs strategic gas pipeline systems – including the Escravos-Lagos Pipeline System and the OB-3 pipeline – which are crucial for the distribution of gas to power-generating companies, industries and wholesale gas suppliers. These regulatory frameworks are designed to support the country’s strategic aspirations in the energy sector, ensuring a reliable and transparent gas market.

The NMDPRA’s regulatory support is also evident in the ongoing development of infrastructure projects such as the Ajaokuta-Kaduna-Kano pipeline, which is expected to be completed by mid-2024. The two billion cubic feet per day (bcf/d) pipeline is a cornerstone of Nigeria’s strategy to enhance domestic gas distribution and support industrialization. Additionally, Nigeria is also involved in the 3.3 bcf/d Nigeria-Morocco Gas Pipeline project, which continues to advance as an important infrastructure initiative set to enhance energy connectivity between West Africa and Europe. These projects are complemented by the country’s launch of three new gas projects aimed at boosting domestic gas utilization and addressing energy poverty.

Beyond these pipeline projects, Nigeria is seeing numerous infrastructure developments kick off across the country. Energy major Shell made a Final Investment Decision (FID) earlier this month to construct a gas supply facility that will deliver up to 100 million standard cubic feet of gas per day to the Dangote Fertilizer and Petrochemical plant over the next ten years. The project is critical in supporting Nigeria’s industrial growth and aligns with the broader goal of boosting domestic gas utilization. Furthermore, the expansion of Nigeria LNG (NLNG) is progressing with the construction of a seventh train, which had reached 52% completion by November 2023. This expansion will increase Nigeria’s LNG production by 7.6 million tons per annum, enhancing its role as a leading LNG exporter.

Additionally, Nigeria is pioneering Naira-based crude oil sales for refineries to enhance the local currency and energy self-sufficiency. Earlier this month, the Nigerian government authorized the Nigerian National Petroleum Corporation (NNPC) to sell crude oil in Naira to the Dangote Refinery and other domestic refineries. This initiative aims to strengthen Nigeria’s currency and support local energy production. Furthermore, collaborations with Saudi Arabia are enhancing LPG accessibility. In February, the two nations launched the National Human Capacity Training Program for the Adoption of Liquefied Petroleum Gas, establishing training facilities for local communities whilst supplying LPG to local populations.

In an effort to strengthen collaboration, the NMDPRA and the Nigerian Upstream Petroleum Regulatory Commission joined forces to enhance industry reporting and data management. This collaboration focuses on two key initiatives: the annual Nigerian Oil and Gas Industry Report and the advancement of the Petroleum Resources Intelligent System (PRIS). With support from technological partner SNAPET, this partnership aims to produce a thorough and precise report on industry activities and leverage technology to streamline data management through PRIS.

“The regulatory advancements by the NMDPRA are key in shaping Nigeria’s energy sector. By implementing comprehensive frameworks and driving infrastructure development, the NMDPRA is enhancing transparency and efficiency in Nigeria’s energy landscape, setting a standard for regulatory excellence in Africa,” states NJ Ayuk, Executive Chairman of the African Energy Chamber.

During AEW: Invest in African Energy 2024, Ahmed will discuss these developments, offering an overview of Nigeria’s midstream and downstream strategy. His insights will provide an in-depth analysis into how these initiatives are positioning Nigeria as a key player in Africa’s energy landscape, with a focus on infrastructure development, energy security and regional cooperation.