Nigeria is intensifying diplomatic efforts to recover a $75 million gas debt owed by Ghana, while also pushing for stronger collaboration on a major regional energy project—the Atlantic Gas Pipeline.
During a recent West African Gas Pipeline (WAGP) Committee of Ministers gathering in Accra, Nigeria’s Minister of State for Petroleum Resources, Ekpo Ekperipe, held strategic talks with Ghanaian President John Dramani Mahama to address the long-standing financial dispute.
The Nigerian minister emphasized that the debt, which stems from natural gas supplied months ago under the WAGP framework, remains unpaid due to administrative bottlenecks, particularly unresolved documentation. Ekperipe called for prompt engagement with the appropriate Ghanaian institutions to resolve the impasse and ensure smooth energy cooperation across West Africa.
Background on the Gas Agreement
Ghana relies heavily on natural gas from Nigeria to fuel its power plants. The gas is delivered through the West African Gas Pipeline, a 678-kilometer transnational infrastructure that moves gas from Nigeria’s Niger Delta through Benin and Togo to Ghana.
The pipeline is managed by the West African Gas Pipeline Company (WAPCo)—a multinational consortium including Chevron, NNPC, Shell, and national gas corporations from the participating countries.
Over the years, Ghana’s energy sector has experienced recurring financial challenges, occasionally leading to delays in payments for gas deliveries. The current $75 million debt is a continuation of that recurring issue, with Nigeria expressing concern over the impact on regional energy stability.
Atlantic Gas Pipeline: A Strategic Partnership
Beyond debt recovery, Nigeria is also leveraging its energy diplomacy to secure Ghana’s support for the African Atlantic Gas Pipeline Project—a proposed infrastructure aimed at boosting regional energy integration, enhancing energy security, and deepening economic cooperation among West African nations.
“We are dedicated to long-term collaboration with Ghana in the gas sector,” Ekperipe said, adding that Nigeria remains open to resolving all issues tied to the WAGP arrangement and moving forward with joint initiatives.
In response, President Mahama acknowledged the importance of Nigeria’s concerns and reaffirmed Ghana’s intent to meet its financial commitments, emphasizing a mutual goal of maintaining regional peace and prosperity through energy cooperation.
Previous Efforts to Resolve Debt
Earlier in February, Ghana’s government revealed ongoing discussions with N-Gas Limited—Nigeria’s gas supplier—regarding a $37.5 million payment, which is part of the total amount owed. However, there has been no official confirmation from N-Gas on whether any payments have been made.
The resolution of the $75 million gas debt and Ghana’s potential endorsement of the Atlantic pipeline project are expected to play a critical role in shaping the future of energy cooperation across West Africa.
