FG Unveils Oil, Gas Compendium, Says Nigeria Positioning as Africa’s Gas Hub
Emmanuel Addeh in Abuja
The federal government yesterday released the oil and gas compendium, describing it as an ambitious initiative by the Ministry of Petroleum to provide potential investors with a comprehensive guide to Nigeria’s oil and gas projects.
Speaking at the event, the Permanent Secretary of the Ministry of Petroleum, Nicholas Ella, noted that the nation currently stands on the threshold of a new era in energy, driven by the framework designed to reposition Nigeria as a leader in the global oil and gas landscape.
After nearly two decades of anticipation, the Petroleum Industry Act (PIA), Ella said, has introduced a robust legal and regulatory framework aimed at promoting efficiency, boosting transparency, and enhancing sustainable practices.
Ella, who was represented by the Director, Midstream and Downstream Department at the ministry, Mohammed Abubakar, stated that Nigeria now has huge potential in its deepwater assets, which are currently under-exploited.
“By providing clearer tax regimes, including Production Sharing Contracts (PSCs), and royalty incentives, the PIA ensures that Nigeria remains an attractive destination for upstream investment.
“According to the International Petroleum Agency (IPA) Nigeria holds the largest oil reserves in sub-Saharan Africa, and implementation of these fiscal terms can unlock investments worth billions of dollars.
“This compendium is an ambitious initiative by the ministry to provide potential investors with a comprehensive guide to Nigeria’s oil and gas projects. From onshore to offshore blocks, and from upstream exploration to mainstream infrastructural development, this document serves as a one-stop repository of opportunities in Nigeria’s oil and gas sector.
“Importantly, it outlines the incentives available to investors, including tax holidays, capital allowances, and favourable royalty frameworks, key enablers for those looking to invest in this dynamic market,” Ella added.
In his comments, the Executive Secretary, Petroleum Technology Development Fund (PTDF), Ahmed Galadima, stated that Nigeria was committed to remaining a dominant player in the global energy sector.
He listed the objectives of the PIA to include: Optimising government revenues, creating jobs, sustainable development of host communities, and in particular, providing the atmosphere for developing new technologies.
Represented by the Deputy Manager, Finance Division of the PTDF, Muhammed AbdulRahman, he stated that Nigeria was positioned as a forward-looking energy giant in Africa, with vast potential to drive industrialisation and economic diversification.
“Our mandate is clear: To build local, human, and institutional capacity that supports the need of the Nigerian oil and gas industry with an eye on sustainability, technological advancement, and innovation.
“As we reflect on how the PIA crystallises investment, it is important to highlight how it aligns its objectives with the broader goals,” he added.
According to him, the PTDF has funded over 20,000 local and international scholarships at postgraduate levels for young Nigerian engineers, scientists, for technical skills, ensuring that Nigeria develops a workforce capable of managing and expanding the oil and gas sector.
“In line with the PIA local content provision, we have ensured that the Nigerian oil and gas industry is staffed and operated by a pool of competent professionals,” he added.
He explained that the PTDF remains at the heart of promoting research and capacity development in gas utilisation, particularly liquefied natural gas, compressed natural gas, and auto gas technologies.
In his intervention, Chairman Amplus VG Energy JV Limited, Scotland, Dr Mohammed Baba Shehu, said that technology can be harnessed to combat oil theft and increase government revenue.
“Nigerian oil and gas sector has long been the backbone of our economy, contributing significantly to government revenue and foreign exchange gaining. However, despite our vast hydrocarbon resources, the sector has faced numerous challenges that have hindered the optimal performance.
“Issues such as regulatory uncertainty, inefficient management of resources, oil theft, revenue leakage, have brought the industry to its knees,” he stated.
He lamented that oil theft not only deprives the nation of substantial revenue, but also creates environmental hazard and damage critical infrastructure.
“To effectively tackle this issue, a multifaceted approach is needed. While the PIA provides legal framework for more efficient oil and gas industry, technology must be leveraged to combat oil theft and secure the nation’s resources.
“Use of advanced technology can significantly enhance the monitoring and management of Nigeria’s oil and gas infrastructure,” he argued.
