By Otobong Gabriel, Abuja
Nigeria’s oil and gas sector recorded a major turnaround in 2025, attracting $18.2 billion in fresh investments tied to 28 new field development plans with a projected output of 1.4 billion barrels of crude oil.
Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, revealed the milestone on Tuesday in Abuja while delivering his ministerial address at the opening of the 9th Nigeria International Energy Summit (NIES) 2026.
According to the minister, the development signals Nigeria’s strong return as Africa’s top destination for energy investments.
Between 2024 and 2025, Nigeria accounted for four out of the seven major Final Investment Decisions (FIDs) announced across the continent — a performance that places the country ahead of other African producers.
“This did not happen by accident,” Lokpobiri told participants at the summit. “It is the result of steady work, policy clarity and better governance. These are facts, not rhetoric, showing that Nigeria is once again a magnet for serious business.”
The Nigeria International Energy Summit, the Federal Government’s official annual platform for energy policy dialogue, investment promotion and innovation, is themed “Energy for Peace and Progress: Securing Our Shared Future.”
Reforms Driving Investor Confidence
Lokpobiri attributed the surge in investments to deliberate reforms introduced by the current administration to fix long-standing structural problems in the upstream sector.
He noted that when the government took office, Nigeria’s oil industry was struggling with falling production, investor hesitation and a decade-long absence of major new projects.
Despite the country’s vast hydrocarbon reserves across deepwater, shallow water and onshore assets, the lack of regulatory clarity and fiscal stability had previously discouraged investors.
“What makes Nigeria different today is not just our resources,” he said. “It is the legal, regulatory, financial and structural transformation we are delivering.
Investment-ready means clarity, predictability and efficiency.”
Petroleum Industry Act and Cost Cuts
The minister highlighted the full implementation of the Petroleum Industry Act (PIA) as a key turning point, saying it has created:
A stable fiscal framework
Clearer licensing procedures
Stronger regulation
Predictable contract terms
He also pointed to the Upstream Petroleum Operations (Cost Efficiency Incentives) Order 2025, which offers tax credits and reduces operating costs for producers, making Nigeria more competitive globally.
Production on the Rise
Lokpobiri further disclosed that the government’s “Project One Million Barrels,” launched in October 2024, has already delivered results.
Within one year, Nigeria’s crude oil output increased to between 1.7 million and 1.83 million barrels per day — roughly a 20 percent rise compared to previous levels.
The renewed inflow of capital and higher production, he said, demonstrate that Nigeria is regaining its place on the global energy investment map after years of stalled growth.
With fresh investments secured and reforms gaining traction, industry watchers believe the country could be entering a new phase of stability and expansion in its oil and gas sector.
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