Nigeria Needs $22 Billion to Expand Gas Pipeline Infrastructure – NNPC Gas Master Plan 2026

Nigeria may need as much as $22 billion in new investments to develop critical gas pipeline infrastructure under the Nigerian National Petroleum Company Limited’s (NNPC) Gas Master Plan 2026. The plan aims to tap into the country’s vast but underutilized gas resources, expanding both domestic supply and export capacity. A copy of the plan reviewed by The PUNCH revealed that 30 priority gas projects are expected within three years, with another 30 projects planned over the next decade.

The Gas Master Plan 2026, unveiled on January 30 at NNPC Towers in Abuja, builds on Nigeria’s 2008 gas strategy but emphasizes modern challenges such as funding gaps, infrastructure deficits, and market linkages. The new blueprint sets ambitious production targets of over 10 billion standard cubic feet (bcf) of gas per day by 2027, rising to 12 bcf/d by 2030. It also aims to attract over $60 billion in investment across the gas value chain, supporting power generation, industrial growth, and liquefied natural gas (LNG) exports.

Despite holding Africa’s largest proven gas reserves at 210 trillion cubic feet—split nearly evenly between associated and non-associated gas—Nigeria ranks only 16th in global gas production. In 2025, the country produced 7.5 bcf/d, but only 60 percent was commercialized, with over 10 percent flared and 30 percent reinjected. The plan highlights the urgent need to unlock this potential to meet rising domestic demand, reduce flaring, and increase export revenues.

Currently, Nigeria has over 2,500 kilometers of gas pipelines, but the master plan identifies significant expansion needs, including projects like the Ajaokuta-Kaduna-Kano and OB3 pipelines. NNPC is shifting from a fragmented project-by-project approach to an integrated gas hub model, developing 23 existing hubs more strategically. This model aims to optimize costs, improve coordination, and balance gas supply between domestic markets and LNG exports.

NNPC officials stress that the Gas Master Plan 2026 benefits from the Petroleum Industry Act, providing a clear regulatory framework for gas development. Implementation assurance measures are in place to track project delivery and ensure gas reaches its intended destinations. With the presidential mandate to achieve 10 bcf/d by 2027 and 12 bcf/d by 2030, the plan serves as a roadmap to position Nigeria as a global gas player while driving economic growth and industrialisation.

source: punch