In Southern Niger, Africa’s Largest Oil Pipeline Comes to Life

In Gaya, in southwestern Niger, near Benin, the largest oil pipeline in Africa, nearly 2,000 km long, is taking shape.

Share:

Subscribe for unlimited access to all the latest energy sector news.

Over 150 multisector articles and analyses every week.

For less than €3/week*

*For an annual commitment

*Engagement annuel à seulement 99 € (au lieu de 149 €), offre valable jusqu'au 30/07/2025 minuit.

Masked and helmeted Chinese and Nigerian workers hoist giant steel pipes over mounds of earth. Further on, smoke is coming out of the flashlights. Camouflaged in the millet fields, heavily armed soldiers are on the lookout.

In Gaya, in southwestern Niger, near Benin, Africa’s largest oil pipeline is taking shape. The pipeline is nearly 2,000 km long – 1,250 km of which is in Niger – and is intended to link the oil wells of the Agadem field in the far east, the scene of deadly jihadist incursions, to the Beninese port of Sèmè, from where Nigerien crude oil will be evacuated for the first time.

With a modest production of 20,000 barrels per day, Niger, one of the world’s poorest states, became an oil producer in 2011.

The black gold extracted by the China National Petroleum Corporation (CNPC) has so far been transported by pipeline to Zinder (south-central Niger), where it is refined.

Initially, Niger had planned to evacuate its crude through the Cameroonian port of Kribi via neighboring Chad, before opting for the Benin corridor.

Launched in 2019, the construction was supposed to be completed in 2022, but the Covid-19 pandemic has slowed it down, Nafiou Issaka, the deputy general manager of the West African Oil Pipeline Company (Wapco), the project owner, told AFP.

Wapco, a subsidiary of CNPC, is now working hard: more than 600 km of pipes have already been laid, “that is 51.5% of completion rate”, and Niger could sell its crude on the international market in “October or November 2023″, he hopes.

More than 700 soldiers are deployed to ensure “permanent security” of the structure even if a large part of the areas it crosses is so far spared from jihadist violence, a security source told AFP on condition of anonymity.

With the continued collapse of revenues from uranium, of which Niger is a major producer, the country is counting on black gold to boost its budget, much of which is being injected into the fight against jihadist groups in the southeast and west.

“Six billion dollars will be invested in the construction of this pipeline. It is the biggest investment of Niger (a former French colony) since its independence (in 1960)”, observes Kabirou Zakari, the director of Hydrocarbons at the Nigerien Ministry of Oil.

– “Smuggling” from Nigeria –

By 2023, oil production will be increased to 110,000 barrels per day, of which 90,000 barrels will be exported, he said.

Oil will thus “generate a quarter of the country’s GDP” (more than 13.6 billion dollars in 2020 according to the World Bank) and “about 50% of Niger’s tax revenues”, compared to 4% and 19% respectively at present, notes Mr. Zakari.

According to him, Niger’s reserves “are around two billion barrels”. And according to official projections, Niger will produce 200,000 barrels per day in 2026 and 500,000 barrels in 2030.

Sonatrach, the Algerian state-owned oil company, announced that it had made an “encouraging discovery” of oil in Kafra (north), a vast area of 23,737 km2 near the border with Algeria, which adjoins the Algerian oil basin of Tafassasset, also operated by Sonatrach.

The British company Savannah Petroleum claims to have discovered new deposits in Agadem where the Chinese are already operating.

Despite local production, the black market in hydrocarbons flourishes in Niamey and the major cities.

According to Niger Customs, this market “is regularly supplied by networks from neighboring Nigeria” and giant oil producer.

In the black market, a liter of gasoline costs 300 CFA francs (0.4 euros) compared to 540 CFA francs (0.8 euros) at the pump, a rate “considered expensive” by the unions. On Tuesday, Niger’s president, Mohamed Bazoum, denounced the extent of “fuel smuggling” from neighboring Nigeria, which has become a source of “supplies for terrorists” via the “Niger River (in dugout canoes) and on motorcycles” to Mali.

“We must find a good answer” to cut off “the terrorists” from this source of “fuel supply,” urged the Nigerien president, who was speaking to security forces in Dosso, the major southwestern city near Nigeria.

The gradual restart of BP’s Whiting refinery following severe flooding is driving price and logistics adjustments across several Midwestern U.S. states.
Bruno Moretti, current special secretary to the presidency, is in pole position to lead Petrobras’ board of directors after Pietro Mendes’ resignation for a regulatory role.
Next Bridge Hydrocarbons completes a $6 million private debt raise to support its involvement in the Panther project while restructuring part of its existing debt.
Sinopec Shanghai Petrochemical reported a net loss in the first half of 2025, impacted by reduced demand for fuels and chemical products, as well as declining sales volumes.
Zener International Holding takes over Petrogal’s assets in Guinea-Bissau, backed by a $24 million structured financing deal arranged with support from Ecobank and the West African Development Bank.
Petrobras board chairman Pietro Mendes resigned after his appointment to lead the National Petroleum Agency, confirmed by the Senate.
Bahrain has signed an energy concession agreement with EOG Resources and Bapco Energies, reinforcing its national strategy and opening the way to new opportunities in oil and gas exploration.
Talos Energy confirmed the presence of oil in the Daenerys area, located in the Gulf of Mexico, after a successful sub-salt drilling operation completed ahead of schedule.
Thanks to strong operational performance, Ithaca Energy recorded record production in the first half of 2025, supporting improved annual guidance and significant dividend distributions.
A surprise drop in US crude inventories and renewed focus on peace talks in Ukraine are shaping oil market dynamics.
The Druzhba pipeline has resumed flows to Hungary, while recent strikes raise questions about the energy interests at stake within the European Union.
The resumption of Shell’s drilling operations and the advancement of competing projects are unfolding in a context dominated by the availability of FPSOs and deepwater drilling capacity, which dictate industrial sequencing and development costs.
Indonesia Energy Corporation signs a memorandum of understanding with Aguila Energia to identify oil and gas assets in Brazil, marking a first incursion outside its domestic market.
YPF transfers management of seven conventional zones to Terra Ignis, marking a key step in its strategy to refocus on higher-value projects.
Viper Energy, a subsidiary of Diamondback Energy, has completed the acquisition of Sitio Royalties and is raising its production forecast for the third quarter of 2025.
Driven by rising industrial demand and emerging capacities in Asia, the global petrochemicals market is expected to see sustained expansion despite regulatory pressures and raw material cost challenges.
Alnaft and Occidental Petroleum signed two agreements to assess the oil and gas potential of southern Algerian zones, amid rising budgetary pressure and a search for energy stability.
Indian imports of Brazilian crude reach 72,000 barrels per day in the first half of 2025, driven by U.S. sanctions, and are expected to grow with new contracts and upstream projects between Petrobras and Indian refiners.
Oil flows to Hungary and Slovakia via the Russian Druzhba pipeline have been halted, following an attack Budapest attributes to repeated Ukrainian strikes.
After twenty-seven years of inactivity, the offshore Sèmè field sees operations restart under the direction of Akrake Petroleum, with production targeted by the end of 2025.
Consent Preferences