Presidency announced on Tuesday that the $550 million upstream gas project, a collaboration between NNPC Ltd. and TotalEnergies for the development of the Ubeta field, has officially commenced.
Olu Verheijen, the Special Adviser to the President on Energy, made this announcement during the inaugural US-Nigeria Strategic Energy Dialogue, which was held by the U.S. State Department in Washington, DC.
A statement released by Olufemi Soneye, Chief Corporate Communications Officer at NNPC Ltd, on Tuesday in Abuja, revealed that the signing ceremony for the $550 million Final Investment Decision (FID) regarding the Ubeta Field Development Project occurred in Abuja in June of this year.
The Ubeta field, discovered in 1964, is situated northwest of Port Harcourt in Rivers State.
Olu Verheijen, the Special Adviser to the President on Energy, announced this during the inaugural US-Nigeria Strategic Energy Dialogue, hosted by the U.S. State Department in Washington, DC.
According to a statement issued by Olufemi Soneye, Chief Corporate Communications Officer at NNPC Ltd, on Tuesday in Abuja, the signing ceremony for the $550 million Final Investment Decision (FID) on the Ubeta Field Development Project took place in Abuja back in June.
The Ubeta field, which was discovered in 1964, is located to the northwest of Port Harcourt in Rivers State.
Verheijen stated that the significant energy reforms initiated by President Bola Ahmed Tinubu since June 2023 have concentrated on enhancing energy security, attracting investments, and strengthening collaboration with key partners, including the U.S. government.
She noted that these crucial reforms have bolstered the viability of the country’s gas-to-power value chain. Among these reforms are initiatives aimed at improving cash flow in electricity distribution through smart metering and settling outstanding debts owed to investors, as well as efforts to decrease carbon emissions from gas production.
Additionally, she mentioned that the President has issued five new executive orders to support these reform initiatives, which are designed to provide fiscal incentives for investment and to streamline the process of finalizing and implementing contracts for the development and expansion of gas infrastructure.
The presidential aide indicated that the directives are intended to quickly unlock up to $2.5 billion in new oil and gas investments within the country.
In response, Geoffrey Pyatt, the U.S. Assistant Secretary of the State Department’s Bureau of Energy Resources, remarked that the dialogue was both timely and strategic.
“The inaugural U.S.-Nigeria Strategic Energy Dialogue has set the stage for strengthened energy collaboration between the United States and Nigeria. Together, we’re advancing shared energy security, decarbonisation, and economic growth goals,” he said.
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The Nigerian delegation to the event was led by the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo. Representatives from various organizations were present, including officials from the Ministry of Power, the Nigerian Upstream Petroleum Regulatory Commission, the Nigerian Midstream and Downstream Petroleum Regulatory Authority, the Nigerian Content Development and Monitoring Board, and NNPC Limited.
The delegation from the United States comprised representatives from the Bureau of African Affairs, USAID, the U.S. Department of Energy, the U.S. Trade and Development Agency, and the Export-Import Bank.
