Heineken Lokpobiri, Minister of State for Petroleum Resources (oil), says the federal government has secured investment commitments worth $21 billion from foreign investor groups for Nigeria’s oil and gas sector.
He announced the development on Monday in Lagos at the 44th
annual international conference of the Nigerian Association of Petroleum
Explorationists (NAPE).
Lokpobiri said the commitments followed his recent
engagements with investors in Abu Dhabi during the just-concluded Abu Dhabi
International Petroleum Exhibition and Conference (ADIPEC), where Nigeria
attracted renewed interest as an investment destination amid geopolitical
tensions in the Gulf region.
“I can assure you that we had one or two non-binding MOUs
with groups. One group is willing to mobilise $15 billion to invest in Nigeria.
And their argument is that we know that in terms of spare capacity, it is more
in the Gulf region,” Lokpobiri said.
“But with what has happened in the Strait of Hormuz, it is
important for companies that have money to diversify their investments in terms
of locations. Some of them are willing to come to Nigeria and invest.
“So, if there is any disruption in one location, the
investment in Nigeria will continue to sustain your cash flow. There’s another
group that is committing $6 billion. And so, what I’m doing is linking those
companies, those groups to companies in Nigeria.”
He said his interest is not in the commercial terms of the
proposed investments but in bringing the parties together to negotiate and
agree on the details.
Lokpobiri said attracting fresh capital has become necessary
because Western countries have weaponised access to financing against the
global south, particularly Africa.
He said the challenge informed the establishment of the
African Energy Bank, adding that the institution is being positioned to address
funding gaps in the continent’s energy sector.
The minister recalled that the president of Afreximbank and
the president of the African Petroleum Producers’ Organisation (APPO) visited
Nigeria on October 31, 2026, for the bank’s formal launch.
He said the bank had held its annual general meeting, met
its conditions precedent, and appointed its president and board, noting that
the institution is expected to commence operations on January 4, 2027, in
Abuja.
According to the minister, discussions with the prospective
investors also include strategies for positioning the African Energy Bank to
mobilise funding for the industry.
ACTIVE RIGS HAVE INCREASED TO 60
Furthermore, he said the number of active rigs has increased
from about 10 to more than 60, with operators sustaining drilling campaigns
across the country.
Lokpobiri dismissed the significance of headline reserve
figures without corresponding production, citing Venezuela’s more than 300
billion barrels of oil reserves despite its economic challenges.
He described Nigeria’s 37 billion barrels of oil reserves
and 215 trillion cubic feet of gas resources as largely academic unless they
are developed and brought to market.
According to the minister, aggressive exploration could more
than double Nigeria’s reserves, with an additional 18 billion barrels of oil
potentially available in deepwater areas yet to be certified.
He said the government’s efforts in the sector has
contributed to strengthening the economy, citing the Central Bank of Nigeria
(CBN) data showing foreign reserves of about $56 billion, with oil and gas
accounting for 85 percent.
Advertise on NigerianEye.com to reach thousands of our daily users
No comments
Post a Comment
Kindly drop a comment below.
(Comments are moderated. Clean comments will be approved immediately)
Advert Enquires - Reach out to us at NigerianEye@gmail.com