The Presidency has announced the launch of a $550 million upstream gas project involving the Nigerian National Petroleum Corporation Ltd. (NNPCL) and TotalEnergies for the development of the Ubeta field. Special Adviser to President Bola Tinubu on Energy, Olu Verheijen, revealed this during the inaugural US-Nigeria Strategic Energy Dialogue in Washington, DC.
The project is expected to produce 350 million standard cubic feet of gas per day once operational. Verheijen highlighted the energy reforms introduced by President Tinubu since June 2023, which focus on enhancing energy security, attracting investments, and fostering collaboration with international partners, including the US government. These reforms aim to improve the gas-to-power value chain and include initiatives to improve cash flows in electricity distribution and reduce carbon emissions from gas production.
To support these reforms, President Tinubu issued five new executive orders offering fiscal incentives for investment and streamlining the development and expansion of gas infrastructure. The orders are expected to unlock up to $2.5 billion in new oil and gas investments in Nigeria.
Verheijen also emphasized the importance of the ongoing energy dialogue between Nigeria and the US, noting its role in closing the energy access gap for nearly 100 million Nigerians without reliable power. The dialogue aims to enhance bilateral cooperation, promote clean energy investments, and advance shared energy and climate goals.
US Assistant Secretary of State Geoffrey Pyatt praised the dialogue as a strategic step towards strengthening energy collaboration and achieving mutual goals in energy security, decarbonization, and economic growth. The event also saw the launch of the Clean Energy Alliance of Nigeria (CLEAN) by the US State Department to mobilize investment in clean energy in Nigeria.
The Ubeta field, discovered in 1964 and located northwest of Port Harcourt, Rivers State, saw its $550 million Final Investment Decision (FID) signing ceremony in Abuja in June.