TotalEnergies Commits $6 Billion Investment in Nigeria’s Energy Sector

Soukaina
Soukaina
3 Min Read
TotalEnergies

TotalEnergies has expressed its commitment to invest six billion dollars over several years in Nigeria’s energy industry. The CEO of TotalEnergies, Patrick Pouyanné, held a meeting with Nigerian President Bola Tinubu to reaffirm the long-term partnership between the company and the largest oil-producing country in Africa.

During the visit, TotalEnergies pledged not only substantial financial investment but also emphasized its dedication to a lasting collaboration. Patrick Pouyanné, accompanied by top executives, engaged in discussions with Bola Tinubu and other key figures, including the head of Nigeria’s national oil company, NNPC.

In their official statement, TotalEnergies reiterated its “long-term commitment” to Nigeria, highlighting a project portfolio with a potential investment exceeding six billion dollars in the coming years. The company expressed its readiness to explore additional opportunities in deepwater production and gas projects.

As the “primary private investor in the country’s energy sector,” TotalEnergies is actively considering opportunities for deepwater production and gas exploration. In response, President Bola Tinubu pledged to remove obstacles within the oil and gas industry, expressing eagerness to collaborate: “We are ready to work with you,” he affirmed.

The final investment decision for the Ubeta gas project is anticipated in the first quarter of 2024. The recent renewal of the OML 130 license for 20 years in May paved the way for the development of the Preowei deepwater project.

Despite promising developments, TotalEnergies faced challenges in mitigating the production decline at the iconic Egina offshore fields, operational since 2018. In June, the company announced the discovery of oil and gas at the Ntokon well in the OML 12 license off the Nigerian coast. However, ongoing efforts, including a renewed drilling campaign, are essential to address the continuous decline in production.

In November, an accidental spill of approximately 6,000 barrels was reported near the Egina project, with no significant impact on production. TotalEnergies remains committed to navigating challenges and contributing significantly to Nigeria’s energy landscape. The company’s decision to invest six billion dollars underscores its confidence in the country’s potential and its commitment to a mutually beneficial long-term partnership.

Soukaina Sghir

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