President Bola Tinubu, and President Teodoro Obiang Nguema Mbasogo of Equatorial Guinea have signed an agreement on the Gulf of Guinea Pipeline Project in Malabo on Wednesday evening.
Reports indicated that the joint regional pipeline development project aims to transport gas from Nigeria to Equatorial Guinea, where it will be processed at the Punta Europa Liquefied natural gas (LNG) processing facilities on Bioko Island.
The facilities are owned by the state-owned EG LNG, signaling new opportunities for energy security through bilateral collaboration.
Also, the agreement outlines plans for a pipeline, LNG facility feedstock, and gas sales to power companies and industrial users, ensuring energy security and regional trade in West Africa.
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The deal follows several milestones achieved in enhancing feedstock for Equatorial Guinea’s GMH at Punta Europa on Bioko Island.
Commissioned in 2007, the facility was developed to monetize gas resources in domestic and regional fields.
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Initially, gas was processed from the Alba field, but with natural declines, alternative sources are being developed.
Energy producer Marathon Oil Corp and energy major Chevron signed an agreement in 2023 with Equatorial Guinea to advance the next stages of the GMH.
The first phase was completed in 2021 with the tie-back of the Alen field to the facility, achieving first gas that same year.
Meanwhile, the second phase will involve processing gas from the Alba field under new contractual terms, while the third phase will bring a new gas field online by processing gas from the Noble Energy-operated Aseng field.
These consecutive phases address production decline in Equatorial Guinea and further position Punta Europa as a world-class hub for local gas monetization.
Furthermore, Equatorial Guinea signed a bilateral trade agreement with Cameroon in 2024 to develop transborder wet gas fields, including the Yoyo and Yolanda fields, the Etinde gas field, the Camen field, and the Diega field.
The recent deal with Nigeria consolidates Equatorial Guinea’s role as a regional infrastructure hub, boosting production and export capacity while monetizing stranded reserves in Nigeria.
