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Nigeria secures $18.2bn oil investments, 28 field plans

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The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, has stated that Nigeria achieved a major investment breakthrough in 2025 with the signing of 28 new field development plans, valued at $18.2bn, which carry an estimated production potential of 1.4 billion barrels of oil.

Lokpobiri disclosed this on Tuesday in Abuja while delivering his ministerial address at the opening ceremony of the 9th Nigeria International Energy Summit 2026, saying Nigeria had emerged as Africa’s leading destination for oil and gas investments, with four of the seven major Final Investment Decisions announced across the continent between 2024 and 2025 taken in the country.

The Nigeria International Energy Summit is the Federal Government’s official annual platform for energy policy dialogue, investment promotion, and innovation. The ninth edition of the summit is themed “Energy for Peace and Progress: Securing Our Shared Future.”

According to the minister, the development was not accidental but the outcome of deliberate reforms, improved policy clarity, and stronger governance, which have helped to restore investor confidence in Nigeria’s oil and gas sector.

He added that the renewed inflow of capital signalled Nigeria’s return to the global energy investment map after years of stalled projects and declining output, stressing that recent fiscal, regulatory and operational reforms were beginning to yield measurable results.

Lokpobiri said, “I want to talk first about Nigeria; our successes, our renewed readiness, the reforms we have implemented, and then put that in the context of Africa, because our fortunes are tied together.

“In 2025 alone, 28 new field development plans worth $18.2bn were signed, with the potential of 1.4 billion barrels of oil. Between 2024 and 2025, of the seven major FIDs announced across Africa, four were in Nigeria. This did not happen by accident; it is the result of steady work, policy clarity, and better governance. These are facts, not rhetoric, showing that Nigeria is once again a magnet for serious business. Our investment climate in Nigeria allows for free movement of capital.”

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Lokpobiri recalled that when the current administration took office, Nigeria’s upstream sector was in distress, with declining production, investor apathy, and an absence of major new projects.

“That Nigeria possesses an enormous hydrocarbon endowment, and a geography that combines deepwater, shallow, and onshore acreages, is a fact. But resource richness alone is not enough. What makes Nigeria now different is the legal, regulatory, financial, and structural transformation we are delivering. Because ‘investment-ready’ means more than just having reserves; it means having clarity, predictability, efficiency, incentives, and alignment.

“When this government started, this sector was struggling, production and capital flight, and investment had stalled. For more than a decade, there were no major final investment decisions on new projects. Investors were cautious, and confidence was lacking. That was our reality,” he narrated before a distinguished audience, including Gambia’s President, Adama Barrow.

He attributed the reversal of this trend to the full implementation of the Petroleum Industry Act, which he said provided a stable fiscal framework, clearer licensing processes, stronger regulation, and predictable contract terms.

The minister added that cost pressures in the upstream sector were also addressed through the Upstream Petroleum Operations (Cost Efficiency Incentives) Order 2025, which grants tax credits and lowers unit operating costs for producers.

Lokpobiri said the launch of Project One Million Barrels in October 2024 had delivered tangible results within a year, lifting crude oil production to between 1.7 million and 1.83 million barrels per day, representing an increase of about 20 per cent over previous output levels.

“We launched ‘Project One Million Barrels’ in October 2024. In less than a year, production rose to between 1.7 and 1.83 million barrels per day, up by roughly 300,000 barrels in July 2025 alone. The number of active rigs jumped from a paltry 14 in 2023 to over 60 as of today. These are signs that the reforms are working, that idle assets are being activated and existing assets are being optimised,” he said.

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Lokpobiri also highlighted the successful completion of long-delayed asset divestments by International Oil Companies, which transferred onshore and shallow-water assets to Nigerian firms.

He noted that the divestments had added about 200,000 barrels per day to national output and were concluded in record time under President Bola Tinubu’s leadership.

However, Lokpobiri admitted that some local policy missteps had created fresh challenges, noting that Nigeria’s oil and gas service sector continued to face structural constraints, particularly within the engineering, procurement, and construction segment.

He said a misinterpretation of the Nigerian Oil and Gas Industry Content Development Act had encouraged the rise of “briefcase EPC companies,” forcing out experienced international contractors while sidelining competent indigenous firms.

Lokpobiri said Africa’s annual $120bn hydrocarbon import bill represented a lost opportunity, calling for stronger support for the African Energy Bank, headquartered in Nigeria. “If we do not mobilise resources to solve Africa’s energy problems, our misery will increase as our population grows. The responsibility is ours and ours alone,” he said.

Meanwhile, the Independent Petroleum Producers Group has called for urgent reforms to streamline industry fees, reduce bureaucracy, and improve access to long-term capital to sustain growth in Nigeria’s oil and gas sector.

Delivering a keynote address at the event, the IPPG Chairman and Aradel Holdings CEO, Adegbite Falade, said the summit would be “deeply engaging, thought-provoking, and solution-driven,” adding that the global energy landscape was being reshaped by conflicts, shifting alliances, and growing energy insecurity.

“In today’s interconnected world, energy has no borders. Shocks in one region affect people across continents, and Africa, including Nigeria, is not shielded from these pressures,” Falade said.

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He noted that Nigeria’s oil and gas sector had recorded significant growth, highlighting that for the first time, indigenous producers and independents now account for more than 50 per cent of national production. He attributed this to improved export pipeline availability, reduced crude losses, and stronger local participation.

“We must continue to create an industry that allows private capital to drive mainstream infrastructure development. Without this, we cannot bridge the massive gap in potential that exists in our contribution to the nation’s GDP,” Falade said.

“To achieve this, we must reduce bureaucracy, streamline industry fees and related charges to keep operators competitive. Our sector currently operates at significantly elevated costs compared to other non-shared jurisdictions. Access to long-term, affordable capital must also improve.”

The PUNCH reports that the consensus of stakeholders at the event was that Nigeria’s oil and gas sector is on a strong recovery path, driven by policy clarity, regulatory reforms and strategic investments, and that sustained collaboration between government, indigenous companies and international partners is essential to consolidate growth, expand domestic energy access and position the country as a regional and global energy hub.

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Dangote refinery expansion to create 95,000 jobs

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The President of the Dangote Group, Aliko Dangote, has announced that the expansion of the Dangote Petroleum Refinery to a production capacity of 1.4 million barrels per day will generate employment for no fewer than 95,000 skilled workers at peak construction.

According to a statement by the firm, Dangote disclosed this on Saturday in Lagos during his induction as an honorary fellow of the Nigerian Academy of Engineering, describing the project as a major milestone in Nigeria’s industrial transformation.

According to him, the expansion underscores the group’s continued commitment to engineering excellence, job creation, and sustainable economic growth.

“This award is particularly meaningful because it recognises what we are doing in the industry, especially our commitment to employing engineers and skilled professionals. At the peak of construction for this expansion, we expect to have about 95,000 skilled workers on site, and we will continue to grow,” Dangote said.

Upon completion, Dangote said the expanded refinery will surpass the Jamnagar refinery in India to become the largest refinery in the world, significantly strengthening Nigeria’s refining capacity.

Dangote noted that the project would rely heavily on Nigerian expertise, creating substantial opportunities for engineers, technicians, artisans, and other skilled professionals. He added that the expansion reflects the group’s long-term vision for industrialisation in Nigeria and across Africa.

Beyond employment generation, the refinery said the expansion is expected to stimulate local manufacturing, enhance technology transfer, and deepen Nigeria’s oil and gas value chain.

It will also improve fuel security, reduce dependence on imported petroleum products, and deliver significant foreign exchange savings for the Nigerian economy.

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“The scale of this expansion reflects our confidence in Nigerian capacity and our belief that Africa has the ability to build world-class infrastructure that meets global standards,” Dangote stated.

In his remarks, the President of the Nigerian Academy of Engineering, Prof Rahamon Bello, described the honour as well-deserved, noting that Dangote’s impact transcends physical infrastructure.

“What makes this recognition fitting is not only what has been built but also what has been inspired. Alhaji Aliko Dangote’s journey continues to motivate a new generation of engineers, entrepreneurs, and innovators to think boldly, act decisively, and believe in the immense possibilities within our continent,” Bello said.

From the current 650,000 bpd, Dangote plans to scale up the refinery in three years.

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Airlines plan Thursday shut down; see why

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There are strong indications that domestic airlines in Nigeria may halt operations from Thursday, April 30, 2026, over what operators described as unbearable and unsustainable aviation fuel prices, raising fresh fears of widespread travel disruption across the country.

Industry insiders say the airlines, having engaged both the Federal Government and oil marketers without a breakthrough, may be left with no option but to ground flights by Thursday.

The looming shutdown comes after several complaints by operators, who have watched the price of Jet A1 surge by over 300 per cent compared to February levels, pushing operating costs to the brink.

Passengers, many of whom rely on domestic flights for business and urgent travel, now face uncertainty.

In a bid to avert the crisis, the Minister of Aviation and Aerospace Development, Festus Keyamo, convened a meeting with airline operators and fuel marketers in Abuja last week. However, findings indicate that the tripartite talks ended in a deadlock, with operators unwilling to shift their stance unless decisive action is taken.

At the end of the two-day meeting, the minister announced a 30 per cent reduction in aviation-related taxes as part of efforts to ease the burden on airlines. While the gesture was acknowledged, operators insist it falls short of addressing the root problem.

Speaking on the first day of the meeting, Vice President of the Airline Operators of Nigeria, Allen Onyema, welcomed the government’s intervention but maintained that fuel marketers must account for the sharp rise in prices.

Onyema said, “This government has helped the industry more than anyone since 1999, and the President is even willing to waive 30 per cent of the debts airlines are owing.

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“But the truth is that the marketers must be brought to book to explain how they came about the 300 per cent increase when even Dangote is surprised because what he is selling to us is still the cheapest.”

At the end of the second day, Onyema issued a stark warning, giving a seven-day ultimatum from midnight last Thursday for action to be taken. “Since the advent of the US-Iran war, there has been a spike in aviation fuel in Nigeria, which we, the Airline Operators of Nigeria, feel is not proportionate to the hike internationally.

“We expect that in the next 48 hours something drastic should be done because no airline will fly in this country in the next seven days if nothing is done, not because they don’t want to fly, but because fuel may not be available to us at sustainable pricing.”

Providing further insight into the financial strain, Onyema disclosed that fuel prices have skyrocketed from about N900 per litre before the crisis to between N2,700 and N2,900, with some marketers selling as high as N3,500.

“Before the crisis, we were buying fuel at about N900 per litre. Now it has risen to between N2,700 and N2,900, with some selling as high as N3,300 to N3,500,” he said.

According to him, airlines are now operating primarily to service fuel costs. “All the airlines in Nigeria have been flying to pay fuel marketers only, and you don’t want to compromise safety,” he added.

Despite speculations about indebtedness, senior airline officials who spoke to our correspondent in confidence on Sunday, due to the sensitive nature of the matter, insisted that operators are up to date with payments to key aviation agencies, including the Federal Airports Authority of Nigeria and the Nigerian Airspace Management Agency.

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The PUNCH further gathered that in a document, the Airline Operators of Nigeria have formally requested additional relief measures from the government. In the letter dated April 21 and signed by AON President Abdulmunaf Sarina, the group called for the immediate suspension of aviation taxes, fees, and charges for at least six months.

The operators argued that the unprecedented rise in fuel costs threatens not only airline operations but also jobs and the stability of the aviation sector. Among other demands, the AON proposed the introduction of a non-taxable fuel surcharge, a standard practice in international aviation to help airlines manage rising costs.

They also urged the government to direct oil marketers to issue credit notes to airlines affected by what they described as excessive and arbitrary price hikes. In addition, the group called for the establishment of an industry tax reform committee to review existing charges, assess their relevance, and align them with global standards.

As the deadline approaches, uncertainty hangs over Nigeria’s aviation sector. Another airline executive, who spoke anonymously on Sunday because he was not authorised to comment publicly, warned that the shutdown threat remains real. “If nothing is done, no airline will be flying by Thursday,” he said.

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Obasanjo reveals why NNPC refineries will never work again; read details

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As the Nigerian National Petroleum Company Limited continues its search for technical partners to operate the Port Harcourt, Warri, and Kaduna refineries, former President Olusegun Obasanjo has once again insisted that the facilities will never work.

Obasanjo spoke during a television interview aired on Saturday night by Sony Irabor Live, which was monitored by our correspondent.

He said, “One of the lessons that I learnt is that PPP (public-private partnership) works. Look, one project that has not been destroyed by the government in Nigeria is the NLNG (Nigeria Liquefied Natural Gas), where the private sector has 51 per cent, and the Nigerian government has 49 per cent.

“See what we did with Nigerian railways. See what we did with the national shipping company. See what we are doing now, even with the NNPC. The NNPC has refineries, and I said to people that it will never work. And a man had the audacity to say, ‘Am I a chemical engineer?”

Obasanjo spoke about his failed efforts to woo Shell, a global energy firm, into running the refineries. “Look, when I was there, I called Shell. I said, ‘Look, please, I beg you, come and take 10 per cent equity and run the refinery for us.’ They said no. I said, ‘Okay, if you don’t want to take equity, don’t take equity. Come and run the refineries. They said no,” he stated.

The former president narrated how he invited a top official of Shell for a one-on-one conversation to know why his offers were turned down.

“So, I called him, and I said, ‘Tell me, be honest with me. Why don’t you want to handle this?’ He said first, they want to let me know that they make most of their profits on the upstream, not the downstream.

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He said they run their downstream without making a loss, but they don’t make a lot of profit from it. It’s more of a service than a major profit-making. So that’s number one.

“Number two: he said our refineries are too small. This was when I was an elected President. He said our refineries are too small. One is 60,000 barrels, and another is 100,000 barrels. He said refineries at that time were in the range of 250,000 barrels to 300,000 barrels. Number three: he said our refineries are not well-maintained. We call quacks and amateurs to come and maintain our refineries. The refineries are not in good order. He said, ‘Number four, there’s too much corruption around our refineries, and they don’t want to be part of that,” Obansanjo explained.

He recalled that he counted the country lucky then when the President of the Dangote Group, Alhaji Aliko Dangote, told him of the willingness to offer $750m to take 51 per cent of two of the facilities.

“Until one day, Aliko (Dangote) came and offered $750m to take two of the refineries; that will be 51 per cent. I said, ‘Wow, God, you are really a God of miracles.’ I told Aliko to bring the money quickly. They brought the money, and they paid,” he said.

However, the Balogun Owu explained further that his successor, the late Umar Yar’adua, reversed the deal after he left office, claiming he was under too much pressure from the NNPC.

He mentioned that only the current NNPC Group Chief Executive Officer, Bayo Ojulari, has said the truth about the state of the refineries so far.

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“When I left office, NNPC went to my successor and convinced him. So I got up. I went to Umar. I said, ‘Look, Umar, maybe you don’t know; this is why we did what we did.’ He said, ‘Well, NNPC came to me.’ I said, ‘But you know that NNPC cannot run this thing. He said he knew. I asked, ‘Then why did you give in? He said because of pressure. And I said, ‘Look, when you sell these refineries, you will not get 200 million (dollars) for them, because you will sell them as scrap.’

“Only the present NNPC head has told the country the truth. But in the meantime, I was told that they have spent about $16bn, which is only $4bn short of what Aliko used to build Africa’s largest refinery,” Obasanjo said.

In November 2025, the NNPC announced a fresh target of June 2026 to finalise the selection of technical partners for the refineries.

Ojulari said that despite the rehabilitation and reopening of the Port Harcourt and Warri refineries in 2024 before they were later reclosed, the facilities were operating “well below international standards”, making their products commercially uncompetitive, especially compared to the privately owned Dangote refinery.

Dangote said he built his refinery after the Yar’Adua administration reversed the sale of the NNPC refineries to him and his other associates. He is also of the opinion that the NNPC refineries may never work again.

The NNPC communications office has yet to respond to messages seeking reactions to the former president’s claims.

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