September 12, 2024
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OIL & GAS

Niger Halts Oil Exports to China Amid Tensions with Benin

Niger has stopped its oil exports to China via the pipeline that runs to Benin’s coast, escalating the ongoing diplomatic standoff between the two West African nations. This announcement was made by Niger’s Oil Minister, Mahamane Moustapha Bako, on Thursday.

Bako oversaw the shutdown at the Agadem oilfield in eastern Niger, halting a section of the 2,000-kilometer pipeline intended to transport oil to China. This pipeline is part of a $400 million agreement with China National Petroleum Corporation (CNPC). According to Africabriefing, this move comes as tensions between Niger and Benin have been mounting since May.

The conflict began when Benin blocked crude exports through its port, demanding that Niger’s junta reopen its borders to Beninese goods and restore normal relations. The situation further deteriorated when Benin authorities detained five Niger nationals earlier this month, accusing them of entering the Seme-Kpodji pipeline terminal under false pretenses. Niger countered this claim, stating that the detained individuals were supervising crude loading in line with their agreement with Benin.

Minister Bako, addressing workers during the shutdown, emphasized the need to protect Niger’s oil resources. “We can’t just sit back while our oil is stolen by other people, because we’re not there where it’s loaded,” he said in a state television broadcast.

The roots of this tension can be traced back to a coup in Niger in July 2023, which led to the Economic Community of West African States (ECOWAS) imposing stringent sanctions on the country. Although these sanctions were lifted after six months, and trade was expected to normalize, Niger has continued to keep its borders closed to goods from Benin.

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