TotalEnergies, the French energy powerhouse, is set to inject a whopping $6 billion (approximately €5.5 billion) into Nigeria's dynamic energy landscape, with a keen focus on gas and offshore ventures, as revealed by the Nigerian presidency.
In a high-profile meeting between TotalEnergies CEO Patrick Pouyanné and Head of State Bola Ahmed Tinubu in the capital city Abuja, plans for this substantial investment were unveiled. Pouyanné expressed, "We are ready to commit $6 billion over the coming years, exploring opportunities in deepwater and gas production."
Highlighting the strategic importance of Nigeria to TotalEnergies, Pouyanné emphasized that the country constitutes 8% to 10% of the group's overall oil production. "Everything is set; we just need to finalize adjustments to unlock the exceptional potential in oil and gas," he added, echoing the sentiment of both parties involved.
The commitment from TotalEnergies aligns with Nigeria's broader efforts to attract foreign investments in its oil and gas sector. President Tinubu affirmed his dedication to removing obstacles in the industry, pledging collaboration by stating, "We are ready to work with you."
This substantial investment follows a recent commitment from Shell, another industry giant, signaling a positive trend in the efforts led by President Tinubu since his May inauguration. His economic measures aim to position Nigeria as an attractive destination for foreign investment, building on the momentum generated by the 2021 Petroleum Industry Bill.
This legislation, after years of debate, serves as a catalyst for foreign investment, introducing changes in regulations, royalties, and taxes. Nigeria, an OPEC member and an oil-producing nation, looks poised for a transformative phase with these strategic partnerships, overcoming challenges such as pipeline theft, attacks, and bureaucratic hurdles that have impeded its oil production in recent years.