Nigeria’s ambitious energy reforms under President Bola Tinubu’s administration have begun delivering substantial progress, according to Special Adviser on Energy, Olu Verheijen. Verheijen highlighted key milestones achieved since the reform program’s inception, showcasing how these policies are setting the stage for economic growth, foreign investment, and industry transformation.
The reforms, targeted at resolving critical bottlenecks and moving investment projects forward, have led to notable advancements in Nigeria’s energy sector. Among the key achievements was the Final Investment Decision (FID) on the Ubeta Non-Associated Gas project in April 2024. This $500 million project, based in a gas field discovered in 1965, is now set to support local businesses and provide energy for Nigerian homes and industries.
For the first time in Nigeria’s history, a fiscal framework has been created for deepwater gas projects, making the country a more attractive option for investors. Nigeria’s standing in global energy investment has also significantly improved, moving from the bottom quartile of 13 indexed countries to the top three. This new positioning opens up access to a potential $90 billion in global financing for deepwater projects, a portion of which could support five major developments and unlock 1.3 billion barrels of oil equivalent (boe).
Nigeria is now preparing for its first FID on a greenfield deepwater development since the Egina project in 2013. Verheijen expressed optimism that investment momentum would accelerate in 2025, fueling job creation, technological advancements, and infrastructure development.
“These new investments will bring significant foreign exchange inflows, helping stabilize the naira and support local economies through construction and job opportunities,” Verheijen noted. “Each investment enhances industry infrastructure, paving the way for future projects to be undertaken at reduced costs and with higher returns, creating a positive cycle of continued growth.”
While acknowledging that it is still early in the reform journey, Verheijen expressed confidence in the transformative potential of President Tinubu’s energy agenda, describing it as a “revolutionary” step toward sustainable growth and resilience in Nigeria’s energy sector.