At UNGA79, ExxonMobil Unveils $10bn Deep-Water Investment Plan in Nigeria

* DP World also proposes multibillion-dollar port project in the country

* Nigeria secures $600,000 for flood relief, health, agric sectors’ reforms

* Shettima to Gates Foundation: Health, nutrition top priorities of our development agenda

Deji Elumoye in Abuja

Vice-President Kashim Shettima has welcomed ExxonMobil’s proposed $10 billion investment in Nigeria’s deep-water oil operations, describing it as a clear testament to the administration’s economic reforms and investment-friendly policies.

This is coming just as the international maritime giant, DP World, has announced plans to develop a multibillion-dollar port project in Nigeria.

Shettima stated this during a high-level meeting with ExxonMobil executives on the sidelines of the ongoing 79th Session of the United Nations General Assembly in New York, United States.

According to him, “This potential investment by ExxonMobil aligns perfectly with the President Bola Tinubu administration’s vision for a more investment-friendly Nigeria.

“We are committed to creating an enabling environment for such transformative projects.”

The vice-president elaborated on the President Tinubu administration’s efforts in ensuring ease of doing business in Nigeria.

He said: “The Renewed Hope Agenda places a strong emphasis on ease of doing business. We have initiated comprehensive reforms to streamline bureaucratic processes, enhance transparency and provide fiscal incentives that make Nigeria an attractive destination for global investors.”

Shettima highlighted recent policy changes by the administration, saying: “Our administration has taken bold steps to unify the exchange rate, remove fuel subsidies, and implement tax reforms.

“These decisions, while challenging in the short term, are designed to create a more stable and predictable business environment in the long run.”

Addressing the specific concerns of the oil and gas sector, the vice-president said: “We are actively working on revising the fiscal framework for deep-water operations. Our goal is to strike a balance between attracting investments and ensuring fair returns for the Nigerian people. The potential ExxonMobil investment is a clear indication that we are moving in the right direction.

“As we welcome ExxonMobil’s renewed commitment, we see this as just the beginning. Our doors are open to all investors across various sectors. The message is clear: Nigeria is open for business, and the President Tinubu administration is your partner in progress.”

Earlier, the Chairman and Managing Director of ExxonMobil Affiliates in Nigeria, Shane Harris, reaffirmed the company’s commitment to investing in Nigeria.

“Our commitment to Nigeria remains unwavering. As we celebrate 70 years of oil production and 8 billion barrels produced, we’re not retreating but refocusing our investments on deep-water opportunities,” Harris said.

The centerpiece of ExxonMobil’s new strategy is the Owo project, a substantial subsea tie-back that could represent a $10 billion investment.

“We’re working closely with the president’s office and the Special Adviser to the President to secure favourable fiscal arrangements that will make this significant investment possible,” Harris explained.

Despite the planned divestment of its onshore assets to Seplat Energy, ExxonMobil aims to inject $1 billion annually into maintenance operations and an additional $1.5 billion to boost production by 50,000 barrels per day over the next few years.

Meanwhile, the international maritime giant, DP World, has announced plans to develop a multibillion-dollar port project in Nigeria.

The Group Chairman & CEO of DP World, Sultan Ahmed bin Sulayem, revealed the company’s intentions during a courtesy visit to Shettima on the sidelines of the ongoing United Nations General Assembly in New York.

The proposal comes as a direct response to President Tinubu’s aggressive investment drive and efforts to improve the ease of doing business in the country.

His word: “Nigeria is a massive market with hugely underutilised potentials. The Nigerian market has the capacity to dominate this sector in Africa. It is a major African country with a huge asset and resource base.

“With our supply chain of over 2,500 points of sale to Nigeria, we will bring in the requisite capital, human and material resources needed to achieve this feat.”

The DP World chief expressed confidence in the Nigerian economy, citing the country’s vast import and export market as a key factor in their decision to invest.

Welcoming the initiative, the vice-president said the “proposal is a testament to President Tinubu’s avowed commitment to attracting foreign investments” to Nigeria.

He emphasised the administration’s ongoing efforts to create a more investor-friendly environment.

Shettima said: “Nigeria is open to investors from around the world. We are witnessing a total rejuvenation in terms of economic policies aimed at freeing up the economy and making way for a free, fair and enduring market.”

The vice-president reassured the investors of the government’s full support and the administration’s dedication to facilitating foreign investment and economic growth.

Also, to hasten relief efforts for victims of the devastating floods, as well as for health and agricultural sectors’ reforms, the Nigerian government has secured a $600,000 relief fund and commitments from the Bill and Melinda Gates Foundation.

Specifically, the Foundation pledged the $600,000 for flood relief in Borno State and other health sector initiatives, with an additional $5 million grant approved for Lagos Business School and partners to develop the agricultural economics of industrial cassava.

The donation was announced when Vice President Shettima held a meeting with the Bill and Melinda Gates Foundation led by its head of Global Development Programme, Dr Christopher Elias, on the sidelines of the 79th United Nations General Assembly in New York.

Shettima reaffirmed the commitment of the administration of President Tinubu to placing health, nutrition and agricultural development at the forefront of nation’s national agenda.

“We are deeply committed to addressing the pressing developmental challenges facing our nation, particularly the significant malnutrition crisis,” the vice-president stated.

He emphasised the Nigerian government’s dedication to integrity and effective leadership in tackling these issues, pointing out that there is an urgency in securing locations for maize production under the Telemaze programme.

Promising swift action on import permits for certified seeds, Shettima said: “We recognize the critical importance of food security and industrial agricultural development. The Cassava Accelerator programme, in particular, holds immense potential for our economy.”

“We are pursuing a whole-of-government approach to digitisation and data exchange systems, which we believe will revolutionise our public services,” he added, while reiterating the government’s focus and commitment to digital transformation.

The vice-president further expressed firm belief that “with the expertise” of Nigeria’s ministers, “and the continued support of partners like the Gates Foundation”, the nation remains confident in its “ability to drive meaningful change and improve the lives of all Nigerians”.

On his part, the President of the Global Development Programme at the Gates Foundation, Dr. Christopher Elias, said the Foundation is deeply worried about the severe flooding in Borno, and is “committed to supporting Nigeria in times of crisis”.

The Foundation also pledged support for Nigeria’s health sector reforms, particularly in the fight against polio.

“We’re impressed by the national task force’s efforts to eliminate variant polioviruses by year-end,” Elias noted.

Also speaking, the President of Global Growth & Opportunity Division at the Bill & Melinda, Rodger Voorhies, detailed plans for scaling up drought-tolerant maize production and advancing the Nigeria Cassava Investment Accelerator programme.

He disclosed that a $5 million grant has been approved for Lagos Business School and partners to develop the agricultural economics of industrial cassava.

“Industrial cassava presents a multi-billion-dollar opportunity for Nigeria,” Voorhees explained.

He requested import permits for 5,000 metric tonnes of certified maize seed to build a foundation seed system in the country.

Also, the Director of the Nigeria Country Office at the Gates Foundation, Uche Amaonwu, expressed appreciation for the ongoing partnership, particularly highlighting a $60 million investment in sector-wide programmes and collaborations on reproductive health issues.

Meanwhile, the President/CE0 of the Dangote Group, Alhaji Aliko Dangote, also paid a courtesy call on Shettima.

Dangote is also the co-chair of the Bill and Melinda Gates Foundation.

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