Nigeria: TotalEnergies pledges $6 billion in oil and gas investments

TotalEnergies is ready to invest $6 billion (€5.5 billion) over several years in Nigeria's oil and energy industry, particularly in gas and offshore projects, according to the Presidency.

Nigeria, Africa's largest economy and main oil producer, has been seeking to attract more foreign investment since President Bola Ahmed Tinubu came to power in May, with a series of economic reforms.

The OPEC member has seen its crude production decline in recent years due to widespread pipeline theft and attacks, as well as high operating costs and bureaucracy deterring domestic investors.

Total's announcement follows a similar commitment by Shell earlier this month, for $6 billion in offshore, gas and liquefied projects.

Tinubu met TotalEnergies CEO Patrick Pouyanne for talks in the capital Abuja on Monday.

"We are committed to eliminating all cobwebs and barriers to investment in the oil and gas industry. We have a clear path that we are committed to following. We are ready to work with you," said Tinubu.

According to the Chairman's statement, Pouyanne told Tinubu that Nigeria was "very important" for TotalEnergies, accounting for eight to 10 percent of the company's total worldwide production.

"We are ready to invest $6 billion over the next few years. We are thoroughly investigating more deepwater and gas production opportunities across the field," he said.

"It's all here. We just need to conclude with the adjustments and changes needed to unlock the exceptional potential of oil and gas.

A new Nigerian law, the Petroleum Industry Act, passed in 2021 after years of debate and delay, aimed to attract more foreign investment into the oil sector through changes to regulations, royalties and taxes.