ABUJA, Nigeria – Nigeria requires at least $22 billion in pipeline investments to unlock its gas potential, expand domestic supply and reduce routine flaring, the Nigerian National Petroleum Company Limited (NNPC Ltd) says.
The projection appears in NNPC’s Gas Master Plan 2026; a strategic roadmap aimed at closing the gap between Nigeria’s estimated 210 trillion cubic feet of gas reserves and rising industrial and energy demand.
“Despite holding Africa’s largest gas reserves, Nigeria’s midstream infrastructure remains grossly inadequate,” NNPC states, noting that the country operates just 2,500 kilometres of gas pipelines nationwide.
The company warns that gas demand could exceed supply by 2030 without urgent investments in pipeline expansion and upstream gas development.
Flagship projects such as the Ajaokuta–Kaduna–Kano (AKK) and OB3 pipelines are identified as critical to improving national connectivity and energy security.
NNPC discloses that Nigeria currently commercialises only 60% of its gas output, with the rest lost to reinjection and flaring.
“Our target is to monetise 75% of gas production by 2027 and 80% by 2030, while eliminating routine flaring by 2027,” the plan states.
Seven priority gas hubs, including Gbaran-Soku-Obagi-OBOB and Utorogu-Ughelli, are earmarked for rapid capacity expansion.
The strategy aligns with President Bola Tinubu’s target of boosting gas output to 10 billion cubic feet per day by 2027 and 12 billion cubic feet by 2030, supported by pricing reforms and private-sector participation.
Energy analysts say the success of the plan depends on regulatory certainty, security and investor confidence.
