Nigeria is set to witness a significant injection of foreign investment in its energy sector as French energy giant TotalEnergies prepares to allocate $6 billion over the coming years.
The investment primarily targets gas and offshore projects, marking a pivotal move in the country’s energy industry.
TotalEnergies CEO Patrick Pouyanné expressed the company’s readiness to channel substantial funds into Nigeria’s energy landscape during talks with President Bola Ahmed Tinubu in Abuja.
Pouyanné emphasized the company’s intentions to explore opportunities for deepwater and gas production, citing Nigeria’s substantial potential in oil and gas.
Pouyanné reaffirmed the company’s significant stake in Nigeria, accounting for 8% to 10% of TotalEnergies’ overall oil production. He highlighted the abundance of potential projects, estimating a portfolio of investments worth $6 billion soon.
Acknowledging TotalEnergies’ commitment, President Tinubu pledged to remove impediments within the oil and gas sector, affirming the government’s readiness to collaborate with the energy giant.
This sizable commitment from TotalEnergies follows a recent announcement from British oil and gas giant Shell, signalling a similar $6 billion investment focus on offshore, natural gas, and liquefied natural gas (LNG) projects in Nigeria.
Since assuming office in May, President Tinubu has undertaken economic measures to attract foreign investments to Nigeria, an oil-producing country and member of OPEC.
Experts say the commitment from TotalEnergies signals a positive turn, potentially rejuvenating Nigeria’s energy sector and fostering its growth in the global market.