Nigeria: Govt, Algeria Meet On N1.8 Trillion Saharan Gas Pipeline

The Nigerian government yesterday held talks with the Algerian government on the 4,300km long, 48-56 inches diameter Trans-Saharan Gas Pipeline (TSGP), which would connect the Niger Delta in Nigeria and Niger, to existing gas transmission hubs to the European Union at El Kala or Beni Saf in Algeria's Mediterranean coast. It is expected to cost $12 billion(about N1.87 trillion naira).

The Group Managing Director of the Nigeria National Petroleum Corporation (NNPC), Alhaji Sanusi Barkindo, who led the Nigerian delegation to the meeting held at the NNPC towers Abuja, described the project as one that would have multiplier effect on the economies of the nation involved and the consumers of the product.

"The project has multiplier effects on our economies. It is a competitive project, a source of diversifying sources of energy and strengthening the global interdependency of both consumers and an avenue for producers," he noted

Barkindo stated that the project, which is already attracting the interest of consumers, participants and financiers, is strategic to the European Union (EU) and should not be bedeviled with commercial and technical issues. He therefore called for the signatures of the governments concerned with the project in all commercial and technical issues relating to it.

"The immediate challenge is to clean up the draft Memorandum of Understanding (MoU) between our countries including Niger for the signatures of our three governments. All the commercial and technical issues relating to this project should be signed to the joint venture agreement," he offered.

The NNPC boss said the MoU would be the umbrella document setting in broad terms, the objective of going into the project and would demonstrate to the international community, the preparedness of the respective countries involved to pursue it to a logical conclusion.

He declared that the Nigerian Gas Master Plan would be the blue print for both the development of domestic and export gas and would provide infinite flexibility to meet the market demand of consumers. Barkindo said the project is fully in tune with the gas master plan, seeking to balance domestic and export of gas for Nigeria.

Speaking at the meeting the leader of the Algerian delegation and Chief Executive of Sonatrac, Mohammed Meziane disclosed that the project would gulp $12billion and would be completed between 2015 and 2017.He said the project was very complex one and Algeria already agreed to accelerate its development.

Source: allAfrica.
Link: http://allafrica.com/stories/200902200400.html.