How has the Ministry supported Nigeria’s oil sector over the past year? 

Over the past year, the Ministry of Petroleum Resources under my watch and the leadership of President Bola Ahmed Tinubu has taken deliberate steps to create a more attractive, transparent and predictable environment for investment.  We have worked closely with our regulatory agencies to ensure a streamlined regulatory process that reduces bureaucratic bottlenecks and enhances transparency. Through the use of technology-driven approvals and stakeholder consultations, we have made Nigeria more investor-friendly.

We have also intensified stakeholder engagement, provided targeted policy support to fast-track key projects, and promoted contract sanctity and fiscal stability. The establishment of the Petroleum Industry Stakeholder Forum has institutionalized collaboration across the sector, ensuring real-time problem-solving and alignment between government, operators, host communities and security agencies. These efforts have not only restored investor confidence but also positioned Nigeria as a globally competitive destination for energy investments.

How significant is the transition of many IOC assets to Indigenous companies in Nigeria?

The divestment of onshore and shallow water assets by IOCs to competent Nigerian firms is a transformational development. This transition reflects the maturity of our Indigenous oil and gas companies and marks a strategic shift toward deepening local content and ownership in our upstream sector.

In the past five months alone, following the successful conclusion of four major divestment deals including those involving Oando, Seplat, Renaissance and Chappal Energies, the new Indigenous owners have added approximately 300,000 bpd to our national production.  These gains have also translated into increased rig activity. Our rig count has jumped from 24 to 38 in just a few months—the highest in recent years. From my engagements with these companies, I can confirm that new drilling campaigns are underway, and with the work plans in place, we are projecting up to 50 active rigs by the end of this year. This wave of local participation is not only helping us grow production, but it is also driving job creation, boosting local content, increasing in-country value retention, and strengthening Nigeria’s energy security.

What impact have recent FID’s in Nigeria’s offshore had on investor confidence?

The recent FIDs by key international operators have had a profoundly positive impact on investor sentiment. Projects such as Shell’s US$5 billion Bonga North and the anticipated Bonga South, TotalEnergies’ Ubeta, and Shell’s HA projects underscore growing trust in Nigeria’s upstream outlook. ExxonMobil’s US$1.5 billion commitment to revitalizing Usan and develop Erha and Owowo fields further signals confidence in our deepwater environment.

These FIDs are proof that when the right frameworks are in place, the industry responds positively. Importantly, we are expecting additional FIDs to be announced before the end of 2025, potentially unlocking over US$20 billion in fresh investments. 

How important is growth in Nigeria’s oil production to spur economic development? 

Oil continues to be a key pillar of Nigeria’s economy—driving government revenue, foreign exchange inflow, infrastructure development, and socio-economic progress. Increasing oil production is critical for achieving our development goals. To that end, we have adopted a multi-pronged strategy. We have focused on securing producing areas, especially in the Niger Delta, through strategic collaboration with security agencies and community-based security groups. We have strengthened our relationship with host communities, resolving conflicts proactively and promoting peace and cooperation.

We are also enabling faster production through streamlined approvals, encouraging partnerships between asset holders and operators, and supporting enhanced oil recovery efforts. The launch of Project One Million is aimed at ramping up output to 2.5 million bpd by 2026. Nigeria’s 2024 

Should Nigeria’s OPEC quota be reviewed?

Yes, we strongly believe that Nigeria’s OPEC production quota should reflect our actual capacity and ongoing recovery efforts. Since assuming office, we’ve implemented major reforms that have helped ramp up production from about 1 to 1.8 million bpd, including condensates.

With new projects coming online, increased indigenous production, and enhanced infrastructure and security, our capacity is clearly on an upward trajectory. Therefore, it is only fair that our quota mirrors these realities. That said, we remain a committed member of OPEC and will continue to work collaboratively to ensure market stability and fairness for all producing nations.