The Federal Government has announced the start of a $550 million upstream gas project between NNPC Limited and TotalEnergies, targeting a production capacity of 350 million standard cubic feet (mscf) of gas per day once fully operational.
Special Adviser to the President on Energy, Olu Verheijen, shared the news during the inaugural US-Nigeria Strategic Energy Dialogue hosted by the U.S. State Department in Washington, DC. The Final Investment Decision for the Ubeta Field Development Project was made in June 2024. The Ubeta field, discovered in 1964, is situated northwest of Port Harcourt, Rivers State.
Verheijen emphasized that President Bola Ahmed Tinubu’s energy reforms since June 2023 focus on boosting energy security, attracting investments, and enhancing partnerships with key stakeholders, including the U.S. government. These reforms are designed to improve Nigeria’s gas-to-power value chain, including improving cash flows in electricity distribution via smart metering, settling outstanding investor debts, and reducing carbon emissions from gas production.
The President has issued five new executive orders to support these reforms, offering fiscal incentives for investment and expediting the development and expansion of gas infrastructure. These measures are anticipated to unlock up to $2.5 billion in new oil and gas investments.
U.S. Assistant Secretary of State’s Bureau of Energy Resources, Geoffrey Pyatt, described the dialogue as timely and strategic, underscoring the significance of continued collaboration between the two countries.
