Benin-Niger Oil Pipeline Project Unaffected by Sanctions Amid Political Crisis

Benin has stated that the ongoing work on a significant oil pipeline connecting it with neighboring Niger remains unaffected by the sanctions imposed on Niger by the Economic Community of West African States (ECOWAS) the coup.

While the sanctions include border closures and suspension of financial and commercial ties with Niger, officials from Benin have clarified that the sanctions are not impacting the progress of the PetroChina-backed export pipeline project. This pipeline is intended to link Niger’s Agadem oilfield with Benin’s port of Cotonou, with a total investment expected to reach $4 billion. The political situation is not interfering with the execution of the project, although a slight delay in the schedule could occur.

Niger, aiming to increase its oil production from 20,000 barrels per day (bpd) to about 110,000 bpd, intends to export approximately 90,000 bpd through the pipeline. The border closures are reportedly having limited impacts on the project but are starting to affect certain sectors of the economy in Benin’s northern border town of Malanville.