GAS DEVELOPMENT AND MONETIZATION: UNLOCKING ECONOMIC GROWTH THROUGH STRATEGIC GAS INFRASTRUCTURE

Abstract

Africa holds over 550 trillion cubic feet of undeveloped gas, with Nigeria, at 200+ tcf proven reserves, leading the continent's push to monetise gas for industrialisation and energy security. Key projects include the OB3 pipeline ($700m, linking east-west networks), the AKK pipeline (614km, 72% complete, facing security and financing hurdles), and NLNG Train 7 (adding 4.2 mtpa by 2027). Nigeria attracted over $5 billion in gas investments in 2024, driven by Petroleum Industry Act reforms. Yet gas flaring persists (192 MMscf in 2024, $646m penalties), infrastructure financing remains fragile, pipeline vandalism and insecurity disrupt operations, and domestic pricing below international benchmarks discourages investment. Regional LNG capacity is projected to grow from 80 mtpa to 175 mtpa by 2040, with Mozambique, Senegal-Mauritania, and Tanzania adding new supply. Success requires accelerated pipeline completion, dynamic pricing reform, stronger flare enforcement, integrated security frameworks, regional cooperation, and carbon market development. Gas monetization is not merely an energy policy; it is an economic imperative shaping Africa's future.