Morocco's $25 Billion Gas Pipeline Gains UAE's Financial Support
Deal News | May 06, 2025 | Zawya
The UAE has committed to co-fund a major $25 billion project aimed at constructing a gas pipeline from Nigeria to Morocco and eventually to Europe. The announcement was made by Leila Benali, Morocco’s Minister of Energy Transition and Sustainable Development. The project will be supported by various other financiers, including the European Investment Bank, the Islamic Development Bank, and the OPEC Fund. The Minister highlighted that all preliminary feasibility and engineering studies have been completed, and Jingye Steel Group from China has been contracted to supply the necessary pipes. The pipeline is projected to extend approximately 5,660 kilometers, connecting from Southern Dakhla city in Morocco's Sahara region to the pipeline in Nigeria, and further to Northern Morocco, where the gas will be distributed to European markets. The project is poised to traverse 15 African nations, enhancing energy connectivity and security. Moreover, Morocco and Nigeria plan to establish a joint venture to manage this expansive infrastructure initiative.
Sectors
- Energy
- Infrastructure
- Finance
Geography
- United Arab Emirates – The UAE is a key financier in the pipeline project, demonstrating its involvement in international energy infrastructure.
- Morocco – Morocco is the site of the pipeline’s terminus and plays a central role in the project’s planning and execution.
- Nigeria – As the pipeline's origin, Nigeria is crucial in the supply chain for this gas infrastructure project.
- China – A Chinese company, Jingye Steel Group, has been contracted to supply pipes for the project.
- Europe – The ultimate destination for the gas pipelined, underlining the strategic importance of the project for European energy markets.
Industry
- Energy – The article discusses the construction of a gas pipeline, which is a key infrastructure project in the energy sector.
- Infrastructure – The construction of a 5,660 km long pipeline project involves significant infrastructural development across multiple countries.
- Finance – The project involves financial commitments and contributions from international banks and funds, highlighting its financial management aspect.
Financials
- $25 billion – The estimated total cost for the construction of the pipeline.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| United Arab Emirates | Financier | Government | The UAE government is a major financial contributor to the pipeline project. |
| Leila Benali | Government Official | People | Morocco’s Minister of Energy Transition and Sustainable Development. |
| European Investment Bank | Financier | Company | A major international financial institution providing funding for the project. |
| Islamic Development Bank | Financier | Company | An international financial organization contributing to the project. |
| OPEC Fund | Financier | Company | An international development finance institution supporting the project. |
| Jingye Steel Group | Supplier | Company | A Chinese company contracted to provide the pipes for the pipeline project. |