French energy company TotalEnergies is set to make a significant investment of $750 million in Nigeria’s gas sector.
Gatekeepers News reports that Mike Sangster, the Senior Vice President for Africa at TotalEnergies, announced plans to initiate a shallow-water dry gas project called Ima next year, aimed at enhancing liquefied natural gas (LNG) supplies.
This upcoming investment adds to the previously allocated $500 million for the Ubeta onshore field development, highlighting Nigeria’s increasing appeal as an investment hub in the energy sector.
The Ubeta project, undertaken in partnership with the Nigerian National Petroleum Company (NNPC), is designed to enhance gas supplies to the Nigerian Liquefied Natural Gas (NLNG) facility.
Since his inauguration in May 2023, President Bola Tinubu has been focused on addressing various challenges within Nigeria’s oil and gas sector. His administration has implemented two executive orders aimed at boosting operational efficiency.
As part of these efforts, the country is targeting up to $10 billion in new investments for deep-water gas exploration, facilitated by tax incentives and policy reforms.
Sangster expressed optimism regarding the recent regulatory adjustments, noting that these changes have motivated TotalEnergies to revitalize its investment strategies in Nigeria, which may help reverse the decline in production.
He emphasised the need for increased flexibility within these regulations to attract international contractors with expertise in deep-water projects, ultimately fostering competition and unlocking additional investment opportunities.
