Nigeria, Africa’s top economy and major oil producer, is looking to bring in more foreign investment since President Bola Ahmed Tinubu came to office in May with a set of economic reforms.ABUJA – French group TotalEnergies is ready to invest $6 billion over several years in Nigeria’s oil and energy industry, especially in gas and offshore projects, the presidency said.
Nigeria, Africa’s top economy and major oil producer, is looking to bring in more foreign investment since President Bola Ahmed Tinubu came to office in May with a set of economic reforms. The OPEC member’s crude output has declined in recent years as widespread theft from pipelines and attacks, along with high operating costs and bureaucracy, have deterred on-shore investors.
TotalEnergies’s announcement follows a similar pledge from Shell earlier this month looking at $6 billion in offshore, gas and liquefied gas projects. Tinubu met with TotalEnergies chief executive Patrick Pouyanne for talks in the capital Abuja on Monday.
“We are committed to removing all cobwebs and anti-investment impediments in the oil and gas industry. We have a clear path that we are committed to pursuing. We are ready to work with you,” Tinubu said after meeting the TotalEnergies team.
According to the presidency statement, Pouyanne told Tinubu that Nigeria was “very important” for TotalEnergies, accounting for eight to 10 percent of the company’s worldwide total production.
“We are ready to invest $6 billion in the coming years. We are looking extensively at more deepwater production and gas production opportunities across the terrain,” he said. “Everything is here. We just need to conclude with the tweaks and changes necessary to unlock the outstanding potential in both oil and gas.”
TotalEnergies in its statement said it “owns a rich portfolio of projects which might represent $6 billion investments in the future years.” A new Nigeria law, the Petroleum Industry Act, passed in 2021 after years of debate and delays aimed to bring more foreign investment in the oil sector with amendments to regulations, royalties and taxes. AFP
