The $550 million Ubeta gas field development project between NNPC Ltd. and TotalEnergies has been launched, the Presidency announced on Tuesday.
Olu Verheijen, Special Adviser to the President on Energy, said this at the first US-Nigeria Strategic Energy Dialogue hosted by the US Department of State in Washington, DC. The $550 million Ubeta Field Development (FID) Project Final Agreement was signed in Abuja in June this year, according to a statement signed by the NNPC Ltd Head of Communications, Olufemi Soneye on Tuesday in Abuja.
The Ubeta oil field was discovered in 1964, west of Port Harcourt, Rivers State. US-Nigeria Strategic Energy Dialogue, hosted by the US Department of State in Washington, DC. Verheijen, speaking at a luncheon at the first US-Nigeria Strategic Energy Dialogue, said the upstream wind power project would produce 350 million cubic feet of natural gas per day if operational.
Verheijen added that the major energy reforms introduced by President Bola Ahmed Tinubu starting in June 2023 are focused on strengthening energy security, attracting investment, and deepening cooperation with key partners, including the US government.
He said the major reforms have improved the viability of the natural gas energy value chain in the country. He said the reforms include measures to improve revenue distribution through smart metering, pay off investor debt, and reduce carbon emissions from natural gas production.
He added that the president issued five new executive orders to support reforms designed to provide financial incentives for investment and reduce the cost and time to complete and execute contracts for developing and expanding natural gas infrastructure.
According to the president’s aides, the goal of the project is to quickly unlock $2.5 billion in new oil and gas investments in the country. Jeffrey Piatt, Assistant Secretary of State for the United States Department of State, responded that this statement was correct and of strategic importance.
The inaugural U.S.-Nigeria Strategic Energy Dialogue has set the stage for strengthened energy collaboration between the United States and Nigeria.
The Minister of State for Petroleum Resources Ekperikpe Ekpo led the Nigerian delegation that attended the meeting.
The meeting was attended by officials from the Ministry of Power, Nigerian Upstream Petroleum Regulatory Content Development and Monitoring Commission and NNPC Limited. The US delegation includes members of the African Union Agency, USAID, the US Department of Energy, the US Trade and Development Administration, and the Export-Import Bank.
