Construction of the Côte d’Ivoire – Ghana gas pipeline
Region(s) : Agneby, Bafing, Bas Sassandra, Denguele, Dix-Huit Montagnes, Fromager, Haut Sassandra, Lacs, Lagunes, Marahoue, Moyen Cavally, Moyen-Comoé, N’zi-Comoé, Savanes, Sud Bandama, Sud-Comoé, Vallée du Bandama, Worodougou, Zanzan
Amount : 186,750,000 € / 247,995,532 $ / 122,500M FCFA
Industry : Mining, energy, hydrocarbons
Type of project : Public/private projects
Overview of the project outline and its environment:
The global economy is characterized by the creation and/or consolidation of major economic and political blocks. The continent of Africa, and indeed West Africa, is pursuing regional political integration in an attempt to ensure significant economic growth and realise its development objectives.
WAPCO (West African Pipeline Company) was created by the governments of Benin, Ghana, Nigeria and Togo in 1995, under the auspices of ECOWAS, to own and operate the West African gas pipeline (WAGP); a classical example of West African regional integration.
The 678 kilometre gas pipeline which was completed in 2010, supplies about 3.8 million cubic metres of natural gas per day to Benin and Togo, and (3.5 million m3/day) to Ghana, from oil fields in Nigeria. The 4.8million m3 capacity pipeline from Alagbago, a suburb of Lagos, Nigeria passes through Cotonou in Benin, Lome in Togo, Tema, Takoradi and Effasu in Ghana. With the discovery of oil in its Jubilee fields, Ghana can now also supply gas to its neighbours to address their future needs and ensure total availability of natural gas in the region which will cost 30% to 50% less than crude oil.
About 70% of Côte d’Ivoire’s electricity production is based on thermal energy which requires some 210 million cubic feet of natural gas per day. The production of natural gas in the sedimentary basin currently produces 180 cubic feet of natural gas per day, representing a deficit of 30 million cubic feet per day. In addition to this, the country plans to build new thermal plants by 2015 and will need to substantially reduce the natural gas deficit by then.
Meanwhile new natural gas deposits remain unexploited.
Such a situation, coupled with the about 8% increase in the country’s gas consumption, could negatively affect the country and trigger severe social and economic consequences especially at a time when the country is recovering from a crisis. The country therefore needs to get alternative sources of natural gas in order to sustain its electricity production.
The availability of natural gas will also be beneficial to Côte d’Ivoire as it strives to promote the processing of raw materials, to initiate industrial projects for the processing of natural gas (urea plant, nitrogenous fertilizers).
Areas for possible outsourcing:
- Safety of the pipeline
- Diversification of the sources of natural gas supply to ensure regular availability of energy resources;
- Sustaining the country’s electricity production;
- Promote the exploitation of natural gas in the East of the country;
- Develop natural gas processing industries in Côte d’Ivoire.
Ministry of Oil and Energy
JACQUES CHEVALIER, Technical Advisor
Telephone : +(225) 20 22 23 92
E-mail : email@example.com