Nigeria’s energy sector attracted $6.7 billion in investments in 2024, according to a report released Wednesday by the Office of the Special Adviser to the President on Energy, Olu Verheijen.
The “Presidency Energy Sector Wrap-Up 2024” report revealed that $5.5 billion was directed toward the oil and gas sector, while $1.2 billion was invested in federal initiatives and clean energy projects.
It highlighted several significant transactions in the oil and gas industry, demonstrating increasing investor interest in Nigeria’s energy market:
- Renaissance Consortium acquired Shell Petroleum Development Company Limited for $1.3 billion.
- Seplat Energy Plc finalized the $1.3 billion purchase of Mobil Producing Nigeria Unlimited from ExxonMobil Corporation.
- Chappal Energies completed two acquisitions: Equinor Nigeria Energy Company for $1.2 billion and TotalEnergies EP Nigeria’s 10% stake in SPDC JV licenses for $860 million.
- Oando Plc acquired Nigerian Agip Oil Company for $800 million.
“These acquisitions pave the way for ambitious indigenous companies to invest and boost onshore production,” the report stated.
Gas and Deep Offshore Investments
Significant investments also went to gas and deep offshore projects. TotalEnergies and the Nigerian National Petroleum Company (NNPC) Limited invested $550 million in the Ubeta non-associated gas project. In the deep offshore sector, SNEPCO committed $5 billion to the Bonga North Deep Offshore Project, which is expected to produce about 110,000 barrels per day.
“These developments position Nigeria to attract $5 billion in gas investments and $30 billion in deep offshore projects by 2029, enhancing energy exports and supporting the energy transition,” the report highlighted.
Clean Energy and Power Initiatives
The report also detailed $700 million in investments for clean mobility and cooking solutions, alongside $400 million allocated to the Presidential Metering Initiative (PMI). Verheijen emphasized the initiative’s role in improving power availability, affordability, and reliability.
“Our focus is to work with stakeholders across public and private sectors to strengthen on-grid power for economic growth,” she stated.
Verheijen added that the administration remains committed to optimizing Nigeria’s energy resources, promoting local ownership, and boosting oil and gas production.
The federal government reaffirmed its dedication to collaborating with stakeholders to advance Nigeria’s energy sector and secure a more stable and prosperous energy future.