In a high-stakes diplomatic engagement, Nigeria and Ghana are working to resolve a $75 million gas debt that threatens to disrupt regional energy cooperation. The talks took place on the sidelines of the West African Gas Pipeline (WAGP) Committee of Ministers meeting in Accra, underscoring both nations’ commitment to strengthening regional ties while managing complex energy dynamics.
Nigeria’s Minister of State for Petroleum Resources, Ekperikpe Ekpo, confirmed he met with Ghanaian President John Dramani Mahama to address the lingering debt issue stemming from unpaid gas supplies under the WAGP agreement.
“This isn’t just about unpaid invoices,” Ekpo stated after the meeting. “It’s about protecting our shared vision for regional integration and energy security. We must act swiftly to resolve outstanding documentation issues so that payment processes can resume smoothly.”
The WAGP is a critical 678-kilometer energy lifeline that transports natural gas from Nigeria’s Niger Delta through Benin and Togo into Ghana. Operated by the West African Gas Pipeline Company Limited (WAPCo), a consortium led by Chevron and including NNPC, Shell, and national gas firms from participating countries, the pipeline fuels several power plants across the region, particularly in Ghana, where gas is vital for electricity generation.
However, the financial strain in Ghana’s power sector has led to repeated arrears over the years, with the latest outstanding payment totaling $75 million. A portion of this debt — $37.5 million — was slated for settlement through negotiations with N-Gas Limited, a key Nigerian gas supplier. Whether that payment has materialized remains uncertain, as N-Gas has yet to confirm receipt.
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While urging for faster debt settlement, Minister Ekpo also used the opportunity to pitch Nigeria’s broader energy vision, called the African Atlantic Gas Pipeline Project. Described as a strategic blueprint to strengthen regional interconnectivity, the Atlantic initiative aims to extend the reach of West Africa’s gas network while deepening economic cooperation among participating states.
“We want to work closely with Ghana, not only to address short-term concerns but to build long-term solutions through shared infrastructure and policies,” Ekpo emphasized.
President Mahama welcomed the conversation, noting that Ghana remains committed to honoring its financial responsibilities and sustaining the West African energy partnership.
The discussions come at a critical time for the region, where energy demands are growing, and the margin for instability is narrowing. Delays in gas payments not only threaten power generation in Ghana but could also have ripple effects across other WAGP-linked economies. Still, both sides are showing signs of constructive diplomacy.
“Ghana appreciates Nigeria’s patience and continued engagement,” Mahama remarked. “We’re aligned in our belief that regional stability depends heavily on how we manage and share our energy resources.”
