Niger Secures 45% Pipeline Stake as Export Tariffs Drop to $15 a Barrel
Updated
Updated · Bloomberg · May 19
Niger Secures 45% Pipeline Stake as Export Tariffs Drop to $15 a Barrel
1 articles · Updated · Bloomberg · May 19
Niger said it will take a 45% stake in West African Oil Pipeline Co., giving the state an effective holding in the China-backed Niger-Benin export route for the first time.
Transport tariffs were cut to $15 a barrel from $27 after renegotiation, a change officials said will save the government about $106 million annually.
The revised terms come as Beijing pushes to lock in more reliable crude supplies from overseas amid broader disruptions in global oil markets.
The deal strengthens Niger's position in its main export infrastructure while lowering the cost of moving crude through the pipeline to Benin.
Niger secured a massive oil pipeline stake, but will the revenue ever reach its impoverished population?
With rebels attacking its new pipeline, is China's energy bet in Niger on the brink of collapse?