Energy sector attracted $7b investment in 2024 – Presidential aide

The Special Adviser to the President on Energy, Olu Verheijen, has disclosed that Nigeria’s energy sector attracted investments worth $6.7 billion in 2024. She revealed this in a report titled Presidency Energy Sector Wrap-Up 2024, released by her office on Wednesday.

The report outlined key developments across oil, gas, and renewable energy initiatives, with $5.5 billion invested in the oil and gas sector. This included notable asset acquisitions such as Renaissance Consortium’s $1.3 billion purchase of Shell Petroleum Development Company, Seplat Energy Plc’s $1.3 billion acquisition of Mobil Producing Nigeria Unlimited from ExxonMobil, and Chappal Energies’ $1.2 billion acquisition of Equinor Nigeria Energy Company, a subsidiary of Norway’s Equinor ASA.

Additional acquisitions included Chappal Energies’ $860 million purchase of TotalEnergies EP Nigeria’s 10% interest in SPDC JV licenses and Oando Plc $800 million acquisition of the Nigerian Agip Oil Company (NAOC).

“These acquisitions unlock onshore fields for a new wave of ambitious indigenous companies, ready to invest and boost production,” the report stated. “This shift strengthens local ownership, drives immediate growth in oil and gas output, and sets Nigeria on a path to a more stable and prosperous energy future.”

The Federal Government (FG) invested $400 million in the Presidential Metering Initiative and $700 million in the Clean Mobility and Cooking programme as part of efforts to modernise energy infrastructure and advance renewable energy projects.

The report also stressed strategic tax incentives for onshore and shallow water Non-Associated Gas (NAG) and deep offshore oil and gas projects.

It noted SNEPCO’s $5 billion investment in the Bonga North Deep Offshore Project, the first greenfield deep offshore development in over a decade, with a production capacity of approximately 110,000 barrels per day.

In the gas sector, Total Energies and Nigerian National Petroleum Company (NNPC) Limited jointly invested $550 million in the Ubeta non-associated gas project, underscoring the FG’s commitment to expanding gas availability for export and supporting the nation’s energy transition.

FG Targets $30bn in Oil Sector, $5bn in Gas Industry by 2029

Looking ahead, Verheijen disclosed that the government aims to attract $30 billion in oil investments and $5 billion in gas investments by 2029. These efforts are expected to enhance Nigeria’s economic growth and maximize the country’s energy resources.

“In power, we launched, among other interventions, the new Presidential Metering Initiative,” Verheijen said. “Our goal, working with all industry stakeholders across public and private sectors, is to improve the availability, affordability, and reliability of on-grid power.”