December 12, (THEWILL) – Niger Republic expects to export its first barrels of crude oil through a newly established Niger-Benin pipeline in January, as stated by the country’s military leader, Abdourahamane Tiani, on state television
The export pipeline project, supported by PetroChina, was inaugurated on November 1, connecting Niger’s Agadem oilfield to the Benin port of Cotonou, Reuters reported.
According to Reuters, Tiani mentioned in an interview on Niger’s RTS channel on Sunday that the storage tanks in Cotonou are currently being filled and are expected to be completed by January, marking the beginning of the commercialisation phase.
Niger is set to receive 25.4 percent of the 90,000 barrels per day (bpd) slated for export through the pipeline. The country currently operates a small oil refinery with a capacity of 20,000 bpd, primarily serving the domestic fuel market
Expressing the country’s aspirations, Abdourahamane Tiani, the military leader who assumed power following a coup in July, emphasised the goal of refining more oil locally.
Tiani stated, “Our desire is not to market crude oil. We want to move towards a refinery which will process Nigerien crude on Nigerien soil.” He added that Niger has not benefited enough from its natural resources.
Niger has been trying to de-westernise its administration and free its country from any colonial influence even in economic AUSTYmatters.
Since the coup, regional and international bodies have imposed sanctions on the country, causing strain on its economy.
In October, Niger’s budget took a huge 40 percent hit following its coup and international sanctions. The country’s debt also climbed to $8.5 million. The country’s debt escalated to $8.5 million. These economic realities stress the need for alternative revenue-generation strategies.
Last month, Niger initiated the operation of its mega power (sola) plant mitigating the power shortages brought about by Nigeria’s exit from its power sector.
The country has collaborated with Burkina Faso and Mali to propose the establishment of a confederation, marking a step toward their long-term objective of uniting the West African neighbours within a federation.
In late November, the economy and finance ministers of Niger, Burkina Faso and Malionvened recommended the establishment of a stabilisation fund, an investment bank, and a committee to examine an economic and monetary union.
About the Author
Sam Diala is a Bloomberg Certified Financial Journalist with over a decade of experience in reporting Business and Economy. He is Business Editor at THEWILL Newspaper, and believes that work, not wishes, creates wealth.
