African Atlantic Gas Pipeline: Expert urged President Tinubu to prioritize domestic need of gas over exportation

The federal government of President Ahmed Bola Tinubu has been called upon prioritize and protect Nigeria’s national interest in the proposed African Atlantic Gas Pipeline project, previously known as the Morocco Nigeria Gas Pipeline.

President Tinubu had recently signed a memorandum of understanding (MoU) with Morocco for the construction of a pipeline of almost 7,000 kilometers, linking the Niger Delta and Gulf of Guinea to Morocco through several countries along the Atlantic coastline of West Africa.

The ambitious project require gas supply from Nigeria and West African gas may eventually find its way into European markets through Morocco. A project estimated to cost about $27 billion.

However, in an open memo to Mr President by Dan D. Kunle has asked the federal government to tred with caution the magnificent project. 

Kunle, who is an oil & Gas expert and business man in letter made available to NATIONAL FOCUS said, “Recent agreements have moved it forward politically, but a project company, investors and a final investment decision are still required before construction can become a commercial reality.

He argued that “It is the kind of project that sounds magnificent in a conference hall. It carries all the language politicians enjoy: African integration, regional development, industrialisation, energy security and international cooperation. But when the ceremony is over and the microphones are removed, Nigeria must sit down and ask a much harder question:

Does this project make economic sense for Nigeria, or have we merely signed another Memorandum of “Misunderstanding”?

He asked, “Where will the gas come from? We must first recalibrate this entire African Atlantic Gas Pipeline proposition. The first question remains: Where will the gas come from?

“Government officials regularly tell Nigerians that the country has more than 200 trillion cubic feet of proven natural gas reserves. That sounds reassuring, but gas reserves underground are not the same as gas developed, processed and available for commercial use.

He opined further, “Gas does not jump by itself from a reservoir into a power station or industrial plant. The fields must be developed, wells must be drilled, gas-gathering facilities must be constructed, processing plants and compressor stations must be installed, connecting pipelines must be built, producers must be paid, customers must be identified and long-term contracts must be signed.

“Nigeria has large gas reserves, but the country continues to experience serious constraints in developing and delivering sufficient gas to its own economy. Our electricity sector still suffers from inadequate and unreliable gas supply.

Power stations are frequently unable to operate at their installed capacity. Industries complain about unreliable energy, while major gas-based projects have suffered years of delay.

“Fertiliser, petrochemical, steel, aluminium, methanol, glass and manufacturing industries all require reliable and affordable gas and electricity.

We have not yet properly supplied ourselves, yet we are already discussing how to move enormous quantities of gas through numerous countries to Morocco and possibly Europe.

Something is wrong with that order of priority”.

Kunle who served President Olusegun Obasanjo administration as Assistant to the Minister of Police Affairs and later served as one of the Assistant to the Minister of Industry, Trade and Commerce before proceeding to the Nigerian privatisation Agency, Bureau of Public Enterprises (BPE)in 2003, posited that before Nigeria makes further international promises, the Minister responsible for petroleum and gas and the management of NNPC Limited must tell Nigerians how much gas the country requires for its power stations and industries over the next 30 years.

“They must state how much gas has already been contracted, identify the fields from which the proposed export gas will be produced, disclose the relevant Gas Sales and Purchase Agreements, explain who will finance upstream gas development and identify the customers that have made credible commitments to buy the gas.

“Without these answers, the proposed pipeline is not yet an investment. It is a political ambition. The unfinished gas arithmetic Nigeria should have learned this lesson from the Ajaokuta–Kaduna–Kano Gas Pipeline. When the AKK project was originally presented to the Nigerian public, contractor financing involving Chinese institutions was expected to play a significant role. Later, the financial burden appeared to move increasingly towards NNPC Limited.

“The 614-kilometre pipeline was approved at an estimated cost of $2.8 billion. After years of delay, NNPC announced in December 2025 that it had completed the welding of the main line, including the River Niger crossing, while connections and supporting infrastructure remained necessary for full operation.

Nigerians must know how that cost was determined, how much has been spent, what work remains outstanding and what the final cost will be.

“But an even more important question remains unanswered:

What gas will enter the AKK pipeline, in what volume, from which fields and under what commercial arrangements when the entire system is completed?

Who are the committed end users? What will they pay for the gas? Are the upstream fields, processing plants, spur lines and industrial facilities ready to operate when the pipeline becomes available?

Kunle, a one time member, Technical Board of Eleme Petrochemical Company, Oil & Gas Implementation Committee (OGIC), Ajaokuta Steel Company, Nigerian Mining Corporation and Nigerian Coal Corporation said, “A pipeline does not create gas. It only transports gas.

If the fields, processing facilities, connecting infrastructure and paying customers are not ready, Nigeria may complete an expensive pipeline only to discover that there is insufficient commercial gas or demand to operate it efficiently.

That is not development. That is another stranded national asset.

“The same uncertainty surrounds several other projects. Nigeria has discussed Brass LNG for years. The Olokola LNG project has remained largely unrealised. There are plans to send gas to Equatorial Guinea, existing LNG commitments, domestic power requirements and industries waiting for gas.

There is also the AKK corridor, where power stations and industrial projects are expected to emerge from Ajaokuta through Abuja, Kaduna and Kano”

“All these projects will compete for gas. Yet no one has publicly presented Nigerians with a consolidated national gas balance showing what is developed and available, what has already been committed, what is required for domestic power and industry, and what genuinely remains for new long-term exports.

This is the central problem.

Nigeria is making pipeline promises before completing its gas arithmetic at home.

From three countries to numerous treaties”. He said