Home » Niger PM Condemns Benin’s Blockade of Oil Exports

Niger PM Condemns Benin’s Blockade of Oil Exports

Niger Accuses Benin of Violating Trade and Oil Agreements

by Ikeoluwa Ogungbangbe

During a news conference in Niamey, the capital of Niger, Prime Minister Ali Mahaman Lamine Zeine of Niger openly criticized Benin’s recent actions to ban Nigerien oil exports as a violation of international agreements. This incident represents a major uptick in the conflict that has been raging since Niger decided to temporarily block its border with Benin due to security concerns.

This week, the disagreement grew more intense as Benin stopped transferring Niger’s crude oil to ships that were waiting at its port. This move immediately threatened Niger’s hopes of beginning crude exports in accordance with a lucrative $400 million deal with China National Petroleum Corp (CNPET.UL). For Niger, a nation without a coastline, the start of these exports is essential because it intends to use the proceeds to pay down bonds that were missed during recent sanctions imposed by the West African regional bloc, ECOWAS.

The core points of contention in the issue are about twelve agreements between Benin, Niger, and Chinese corporations. One of the major agreements, backed by PetroChina (601857.SS), permitted the building of a pipeline that connected the Agadem oil field in Niger to the port of Cotonou in Benin. Prime Minister Zeine emphasized that these agreements expressly forbid Benin from changing or restricting the conditions on its own without the agreement of all parties. He underlined how serious Benin’s actions were, characterizing them as a flagrant breach of their contractual duties.

“This means that the government decided not to take any move that would interrupt the flow of Niger’s crude oil to the world market,” Zeine said during the news conference, highlighting the complexity of the situation. It is serious, this. This is a violation of an agreement.”

The harsh sanctions that followed a coup in Niger in July 2023, which resulted in an ECOWAS-enforced six months of economic and political isolation, are a contributing factor to the tension in the region. Although the sanctions have since been withdrawn, the fallout still has an impact on Niger’s security environment and relations with its neighbors.

Zeine offered a security justification for the border closure, stating that terrorist training centers are located inside Benin’s borders and directly threaten the stability of Niger. These accusations draw attention to Niger’s serious security issues, but they have not been supported by additional information. The Prime Minister stated unequivocally that the border would be closed until Niger could guarantee that its security remained unhindered.

As Niger battles prolonged conflicts by organizations connected to the Islamic State and Al-Qaeda, the fight is placed against a larger regional issue. These groups seek to expand their sphere of influence into coastal West African countries from the central Sahel, which comprises Niger, Mali, and Burkina Faso.

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