Algeria and Nigeria seek Europe's support for trans-Saharan gas pipeline

Algeria and Nigeria sought European support Monday as they laid out plans for a trans-Saharan gas pipeline that could supply the EU with 6 percent of its future gas needs. Europe currently depends on Russia for up to two-fifths of its gas and is seeking new sources and new routes as it worries about a growing reliance on oil and gas imports.

Algerian and Nigerian state-owned gas companies Sonatrach and NNPC want to build a US$10 billion (€7.36 billion) pipeline to bring another 20 billion to 30 billion cubic meters of gas to European consumers — mostly in Spain and Italy — starting as early as 2015.
But the European Union's energy chief, Andris Piebalgs, was reluctant to promise much beyond warm words for the project, saying it was possible the EU could allocate funding — but money could also come from the private sector. "We could encourage European financial institutions to look toward the project," he said.

Algeria, Nigeria and their neighbor Niger promoted the event in Brussels to seek future customers and investors. Algeria and Nigeria currently provide western Africa with gas and turn some into easier-to-transport liquefied natural gas. But they are also keen to sell to wealthy European markets if they can get the project up and running.

The 4,300-kilometer trans-Saharan gas pipeline would run from southern Nigeria, through its northern neighbor Niger to Algeria and then under the Mediterranean Sea to Europe. Plans are at an early stage following viability studies.

IHT