Nigeria’s oil and gas sector has received a fresh injection of confidence following recent divestments by international oil companies, which have unlocked over $5.5 billion in new investments and added 200,000 barrels per day to national crude output.
The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, disclosed this in Cape Town during the Africa Energy Week, where he delivered a keynote address on behalf of President Bola Tinubu.
He described the asset transfers as more than transactions, calling them “transfers of confidence, capability, and ownership.”
Over the past three years, global oil majors such as Shell, ExxonMobil, and Chevron have sold down their onshore and shallow-water holdings as part of a global shift to deepwater operations.
This opened the door for Nigerian independents like Seplat Energy, Oando, and Heirs Holdings, strengthening local participation in the industry.
According to a statement by Lokpobiri’s media aide, Nneamaka Okafor, the government is intent on creating a transparent, investor-friendly environment through reforms anchored on the Petroleum Industry Act (PIA).
According to the Punch, the Act provides a clear fiscal and regulatory framework, licensing transparency, and stronger host community engagement.
“These measures are making Nigeria a competitive investment destination,” Lokpobiri said, stressing that the administration’s focus is on long-term growth, efficiency, and investor confidence.
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Nigeria’s upstream sector has already shown results. The “Project One Million Barrels” initiative of the Nigerian Upstream Petroleum Regulatory Commission has lifted daily production to between 1.7 and 1.83 million barrels per day, with a 300,000 bpd jump recorded in July 2025. Active drilling rigs also surged from 31 in January to 50 by mid-year.
Looking beyond Nigeria, Lokpobiri urged African nations to capture more value from hydrocarbons by investing in infrastructure, industrialisation, and local value chains.
He noted that Africa spends over $120 billion annually on hydrocarbon imports, despite holding nearly $4 trillion in domestic capital through pension and insurance funds.
He called for regional collaboration to channel this capital into energy investments, stressing that the global conversation should focus on an inclusive energy mix rather than abandoning oil.
“Nigeria is open for business,” he declared. “We are offering opportunities at scale, reform with consistency, incentives with clarity, and local participation with respect. To global investors, I say: come to Nigeria and be part of the energy revolution.”
Image Credit: Punch Newspapers
