Nigeria secured FIDs worth over $5.5 bn in 2024-FG

The Federal Government has announced that the year 2024 marked a turning point in the nation’s energy landscape, with Nigeria securing three out of Africa’s four Final Investment Decisions (FIDs), valued at over $5.5 billion.

Olu Verheijen, special Adviser to President on Energy, stated this in Abuja on Monday at the 2025 Nigeria International Energy Summit.

According to Verheijen, the year 2024 marked a turning point in our energy landscape, with Nigeria securing three out of Africa’s four Final Investment Decisions (FIDs), valued at over $5.5 billion.

Nigeria she said also solidified its position as a premier destination for deep offshore oil and gas investments, approved its first deepwater FID in over a decade, facilitated five major asset acquisitions, revived two domestic refineries, and commenced petrol production at Africa’s largest refinery.

These developments according to her has been instrumental in positioning Nigeria to meet its set objectives.

She said, “A critical aspect of our strategy has been enhancing security in oil-producing regions. Through a data-driven security framework, implemented in collaboration with operators, the Office of the National Security Adviser, and the Ministry of Defence, we have facilitated a 500,000-bpd increase in oil production since the inception of this administration.

“Additionally, we have critically examined Nigeria’s historical challenges in attracting substantial greenfield investments. Over the past decade, global oil and gas investors allocated $80 billion elsewhere, largely bypassing Nigeria. The reason was clear: investors require confidence in a stable regulatory and competitive fiscal framework.

“In response, President Tinubu, in February 2024, issued three landmark directives—Directives 40, 41, and 42—to dismantle key investment barriers and enhance Nigeria’s competitiveness. These directives have significantly improved our investment climate, positioning Nigeria among the top quartile of 14 competing oil and gas investment destinations. The results were swift and tangible: by mid-2024, the Ubeta FID was secured through a Total JV. By year-end, Shell and its partners approved the Bonga North FID. Looking ahead, additional FIDs are anticipated in 2025, further reinforcing investor confidence.”

Verheijen speaking further, said that the five major asset acquisitions completed in 2024 would play a critical role in accelerating Nigeria’s oil production growth, noting that the transactions have strategically integrated operators with deep local expertise and operational agility, ensuring more efficient resource extraction and management.

She also explained that in recognising urgent need to enhance liquidity and efficiency in the power sector, the Federal Government introduced bold financial reforms in 2024 aimed at strengthening governance, improving service delivery, and attracting private sector investment.

To secure the long-term financial stability of the power sector, Verheijen stated that the Federal Government would be actively addressing outstanding debts owed to gas suppliers and generation companies.

“Simultaneously, we are implementing a gradual transition to cost-reflective tariffs that balance affordability with financial sustainability. This approach ensures the sector remains self-sustaining while safeguarding the most vulnerable through a well-targeted subsidy system.

“These financial reforms are integral to a broader strategy aimed at making the power sector commercially viable, investment-friendly, and capable of delivering enhanced electrification and service quality. Ultimately, these measures will ensure that financial interventions translate into tangible improvements in governance, operational efficiency, and overall sector sustainability,” She added.