Nigeria secures $5.5bn in FIDs in 2024, aims for more investments in 2025
Special Adviser to the President Bola Tinubu on Energy, Olu Verheijen
Nigeria secures $5.5bn in FIDs in 2024, aims for more investments in 2025
The Special Adviser on Energy to President Bola Tinubu, Olu Verheijen, has stated that Nigeria is poised to secure an increased number of Final Investment Decisions, a move that reinforces investor confidence and drives sustained economic growth in the energy sector.
Verheijen, speaking at the Nigeria International Energy Summit 2025 on Monday, noted that Nigeria secured three out of Africa’s four FIDs last year, valued at over $5.5bn.
She noted that this data demonstrated Nigeria’s position as a leading destination for deep offshore oil and gas investments.
She added that the country’s improved investment climate was driven by key reforms, including three presidential directives issued in February 2024 to remove barriers to new investments.
These measures, helped attract major investment commitments such as the Ubeta FID secured through a Total JV and Shell’s approval of the Bonga North FID.
“The year 2024 marked a turning point in our energy landscape, with Nigeria securing three out of Africa’s four Final Investment Decisions, valued at over $5.5bn. Our nation solidified its position as a premier destination for deep offshore oil and gas investments, approved its first deepwater FID in over a decade, facilitated five major asset acquisitions, revived two domestic refineries, and commenced petrol production at Africa’s largest refinery.
“Looking ahead, additional FIDs are anticipated in 2025, further reinforcing investor confidence. The five major asset acquisitions completed in 2024 will play a critical role in accelerating production growth. These transactions have strategically integrated operators with deep local expertise and operational agility, ensuring more efficient resource extraction and management,” Verheijen said.
Nigeria has struggled to attract significant new oil and gas investments in the past decade, with global investors directing about $80bn elsewhere.
Verheijen attributed this to concerns over regulatory stability and an uncompetitive fiscal framework.
However, she said President Tinubu’s administration had taken steps to change this narrative by enhancing security in oil-producing regions and implementing a data-driven security framework in collaboration with operators and security agencies.
This led to a 500,000 barrels per day increase in oil production since the administration took office.
With a target of restoring oil production to 2.06 million bpd in the near term and reaching 4 million bpd by 2030, the government’s focus remains on attracting more FIDs, expanding deepwater operations, and ensuring Nigeria remains competitive among 14 rival oil and gas investment destinations.
Verheijen also pointed to five major asset acquisitions completed in 2024 as key to boosting Nigeria’s oil production.
She said these transactions integrated operators with local expertise while allowing international oil companies to focus on deepwater operations, where their capital and technical capacity are crucial.
“This strategic realignment is expected to drive sustained production growth, ensuring a steady and long-term increase in output,” she said.
Beyond oil and gas, Verheijen stressed Nigeria’s growing influence in shaping Africa’s energy landscape. She highlighted the expansion of domestic refining capacity, improved electrification efforts, and reforms aimed at enhancing liquidity in the power sector.
“A key initiative is the Presidential Metering Initiative, which consolidates all metering programs into a unified framework, targeting the deployment of seven million smart meters. This initiative is designed to eliminate the inefficiencies of estimated billing, enhance revenue collection by electricity distribution companies (DisCos), and significantly improve service delivery,” Vrehijen added.
She also said that the government in addressing outstanding debts owed to gas suppliers and power generation companies while implementing cost-reflective tariffs with targeted subsidies.
Verheijen said these measures were crucial to ensuring a financially stable and investment-friendly power sector that could drive industrialisation and economic growth.
“A more energy-secure Africa translates into a more economically resilient Africa. By leveraging our vast energy resources for industrial development and strategic exports, we are laying the foundation for sustainable job creation, economic diversification, and long-term prosperity.
“Our success in securing major investments, expanding domestic refining capacity, and enhancing electrification is not only a national achievement—it has far-reaching implications for regional energy security, intra-African trade, and industrialisation.
“A more energy-secure Africa translates into a more economically resilient Africa. By leveraging our vast energy resources for industrial development and strategic exports, we are laying the foundation for sustainable job creation, economic diversification, and long-term prosperity.
“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,” she said.
