President Bola Tinubu’s recent executive orders are poised to significantly boost Nigeria’s oil and gas sector, attracting an estimated $2.5 billion in new investments. These measures aim to streamline processes, reduce costs, and provide fiscal incentives for investors.
The announcement comes on the heels of the $550 million Ubeta gas project, which is expected to deliver 350 million standard cubic feet of gas per day upon completion. This project, a joint venture between NNPC Ltd. and TotalEnergies, marks a significant step towards enhancing Nigeria’s energy security.
According to Special Adviser to the President on Energy, Olu Verheijen, the executive orders are designed to create a more favourable investment climate and accelerate the development of gas infrastructure. “These directives will immediately unlock substantial new investments in Nigeria’s oil and gas sector,” she stated.
Verheijen’s remarks were made during the inaugural US-Nigeria Strategic Energy Dialogue, where she highlighted the Nigerian government’s commitment to improving energy security, attracting foreign investment, and deepening collaboration with key partners like the United States.
The dialogue served as a platform for both countries to discuss shared energy goals and explore opportunities for cooperation. Nigeria is seeking to diversify its energy mix, increase gas production, and reduce its carbon footprint.
In addition to the executive orders, the Nigerian government has implemented several other reforms to enhance the efficiency of the gas-to-power value chain. These reforms include initiatives to improve cash flow in electricity distribution, reduce carbon emissions, and streamline regulatory processes.
The Ubeta gas project is a tangible example of the positive impact of these reforms. Its successful implementation demonstrates Nigeria’s potential to attract significant foreign investment and contribute to global energy markets.
As Nigeria continues to prioritise energy sector development, the executive orders and the Ubeta gas project represent important milestones in the country’s efforts to achieve sustainable economic growth and energy security.