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Niger stops Oil exports to China over pipeline dispute with Benin

Niger oil China
Around 90,000 barrels of crude oil a day can flow from eastern Niger to southern Benin through the Chinese-built pipeline [Credits: Boureima Hama/AFP/Getty Images]

Niger has halted oil exports to China through its pipeline to Benin’s coast, Oil Minister Mahamane Moustapha Barke Bako announced on Thursday, intensifying a standoff between the West African neighbours .

The minister supervised the locking of a segment of the 2,000-km (1,243-mile) pipeline at the Agadem oilfield in eastern Niger.

This pipeline was intended for exports to China under a $400 million memorandum of understanding with the state-owned oil giant, China National Petroleum Corp (CNPC).

Relations between the two countries have been strained since Benin blocked crude exports from landlocked Niger via its port in May, demanding that the junta reopen its border to Benin’s goods and normalise relations.

In June, authorities in Benin detained five Niger nationals for allegedly entering Benin’s Seme-Kpodji pipeline terminal under false pretenses—charges that Niger has rejected, insisting the group was there to supervise the loading of crude in accordance with an agreement with Benin.

“We can’t just sit back while our oil is taken by others because we’re not present at the loading site,” the minister told workers, explaining the decision to stop flows, as broadcasted on state television.

Tensions stem from a July 2023 coup in Niger, prompting the regional bloc ECOWAS to enforce stringent sanctions for over six months.

Although trade in the region was anticipated to normalise after the bloc lifted sanctions, Niger has continued to keep its borders closed to goods from Benin.

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