Nigeria set to receive $20 billion in oil revenue as TotalEnergies’ rejection opens door for new investors

By: Amadi Vincent Uzoma

The Ministry of Petroleum in Nigeria, under the federal government, has revealed its expectation of attracting investments worth at least $20 billion in the near future. This announcement follows TotalEnergies, a French oil major, choosing to invest in Angola instead of Nigeria.

Since assuming office, Heineken Lokpobiri, the minister of state for petroleum resources, has been actively working to create a conducive environment to draw investments into the Nigerian oil and gas industry.

During a ministerial briefing held in Abuja, Lokpobiri stated that the government’s efforts have successfully regained investors’ trust in the current administration by implementing policies that make Nigeria a competitive global investment destination. He announced that companies are returning to Nigeria, with one planning a $10 billion investment in deep offshore activities and another considering a $5 billion investment.
Looking ahead to 2024, the government aims to attract a minimum of $20 billion in investments by providing a favorable environment for oil and gas sector investors.

Lokpobiri emphasized the significance of the oil and gas sector in driving Nigeria’s economic growth, highlighting the need for sustained investments to increase production and finance national economic programs.
The minister acknowledged Nigeria’s rich oil reserves in Africa but mentioned the lack of significant investments in the past due to policy uncertainties. However, with the recent passage of the Petroleum Industry Act (PIA) and stable governance, the government is striving to attract both large international oil companies (IOCs) and smaller firms to invest in the sector.

In response to TotalEnergies’ decision to invest in Angola over Nigeria, citing policy inconsistencies as a concern, the government is engaging with stakeholders to address the issues and maintain investor confidence in the administration.

The government’s commitment to creating a conducive investment environment in the oil and gas sector remains strong as it aim to leverage Nigeria’s oil reserves and drive economic prosperity through sustained investments.