Germany to Invest in Nigerian Gas, Minerals

Germany's Chancellor Olaf Scholz, on Sunday, revealed Germany's intention to invest in Nigeria's gas and critical metals sector, marking the initiative during his visit to two Sub-Saharan countries.

This venture highlights Germany's focus on Nigeria, Africa's leading oil producer, as a pivotal player in bolstering Berlin's energy and mineral resources portfolio.

This visit, being Scholz's third to the region in two years, comes at a time when global conflicts are drawing attention to the escalating importance of this energy-rich area, with which Berlin had minimal engagements previously.

During a joint press conference with Nigerian President Bola Tinubu in Abuja, Scholz expressed Germany's readiness to invest, particularly emphasizing critical metals.

He also commended Nigeria's strides towards expanding its liquefied natural gas (LNG) capacity and encouraged German companies to delve into Nigeria's pipeline infrastructure.

Tinubu mentioned a "very extensive discussion" regarding the gas issue and welcomed German firms to invest in Nigeria's pipeline network.

Additionally, Nigeria is keen on attracting investors to its long-underperforming mining sector, which contributes less than one percent to the country's Gross Domestic Product (GDP).

Without going into details, Scholz also hinted at German companies' interest in constructing railway lines in Nigeria, a sector currently dominated by Chinese firms who have secured contracts to expand railway networks in Africa’s largest economy.