Nigeria is charting a bold new course in its energy sector, positioning itself as a powerhouse for investment and growth.
The Special Adviser on Energy to President Bola Tinubu, Olu Verheijen, has affirmed that the country is on track to secure more Final Investment Decisions (FIDs), a move set to deepen investor confidence and propel sustained economic expansion.
Speaking at the Nigeria International Energy Summit 2025, Verheijen highlighted Nigeria’s remarkable achievement in 2024, securing three of Africa’s four FIDs, collectively worth over $5.5 billion.
This milestone, she noted, cements Nigeria’s status as a prime destination for deep offshore oil and gas investments.
The nation’s enhanced investment climate is the result of strategic reforms, including three pivotal presidential directives issued in February 2024.
These directives dismantled barriers to new investments, leading to significant commitments such as the Ubeta FID, secured through a partnership with Total, and Shell’s approval of the Bonga North FID.
“The year 2024 marked a turning point in our energy landscape,” Verheijen declared. “With Nigeria approving its first deepwater FID in over a decade, facilitating five major asset acquisitions, reviving two domestic refineries, and initiating petrol production at Africa’s largest refinery, our energy sector has never been more vibrant.”
Looking ahead to 2025, additional FIDs are anticipated, reinforcing Nigeria’s appeal to investors.
The five major asset acquisitions finalized in 2024 will be instrumental in accelerating production growth, integrating operators with deep local expertise, and optimizing resource management for maximum efficiency.
For years, Nigeria struggled to attract substantial new oil and gas investments, with approximately $80 billion in global capital flowing elsewhere due to regulatory instability and an uncompetitive fiscal framework.
However, President Tinubu’s administration has launched decisive measures to reverse this trend. By strengthening security in oil-producing regions and deploying a data-driven security framework in collaboration with operators and security agencies, Nigeria has increased oil production by 500,000 barrels per day since the administration took office.
With an ambitious target of restoring production to 2.06 million bpd in the near term and reaching 4 million bpd by 2030, the government is prioritizing more FIDs, deepwater expansion, and ensuring Nigeria stands strong among 14 rival oil and gas investment hubs.
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Verheijen underscored the strategic role of the five major asset acquisitions completed in 2024. These transactions have streamlined operations, allowing international oil companies to focus on deepwater exploration while leveraging the expertise of local operators.
“This strategic realignment will drive sustained production growth, ensuring a steady and long-term increase in output,” she stated.
Beyond the oil and gas industry, Nigeria is solidifying its influence in Africa’s broader energy landscape. Key developments include the expansion of domestic refining capacity, electrification initiatives, and financial reforms aimed at stabilizing the power sector. A game-changing initiative in this space is the Presidential Metering Initiative, which consolidates all metering programs under a single framework. With a goal of deploying seven million smart meters, the initiative is designed to eliminate estimated billing inefficiencies, enhance revenue collection for electricity distribution companies, and significantly improve service delivery.
The government is also tackling legacy debts owed to gas suppliers and power generation companies while rolling out cost-reflective tariffs supported by targeted subsidies. These reforms are critical to ensuring a financially stable, investment-friendly power sector that drives industrialization and economic expansion.
“A more energy-secure Africa translates into a more economically resilient Africa,” Verheijen emphasized. “By harnessing our vast energy resources for industrial growth and strategic exports, we are laying the groundwork for sustainable job creation, economic diversification, and long-term prosperity.”
She further highlighted that Nigeria’s success in attracting major investments, expanding refining capacity, and advancing electrification goes beyond national progress it has profound implications for regional energy security, intra-African trade, and industrialization.
“The reforms we implement today will shape Africa’s energy future and define our role in the global economy. When the history of Africa’s industrial revolution is written, 2024 will be recognized as the year Nigeria ignited the transformation,” Verheijen concluded.