The $550 million upstream gas project between the Nigerian National Petroleum Company Limited (NNPC) and TotalEnergies for the development of the Ubeta Field has officially commenced, according to a statement from the Presidency on Tuesday. The announcement was made by Olu Verheijen, Special Adviser to the President on Energy, during the inaugural US-Nigeria Strategic Energy Dialogue, hosted by the U.S. State Department in Washington, DC.
The Final Investment Decision (FID) for the Ubeta Field Development Project, which took place in June in Abuja, marks a significant milestone. The Ubeta Field, located northwest of Port Harcourt in Rivers State, was discovered in 1964. Once operational, the project is expected to deliver 350 million standard cubic feet of gas per day.
Verheijen emphasized that the energy reforms introduced by President Bola Tinubu since June 2023 are aimed at improving energy security, attracting investments, and fostering collaboration with international partners, particularly the U.S. government. These reforms have helped enhance the viability of Nigeria’s gas-to-power value chain, focusing on areas such as electricity distribution through smart metering, addressing outstanding debts owed to investors, and reducing carbon emissions from gas production.
President Tinubu has also issued five executive orders to support these reforms, offering fiscal incentives for investment and streamlining the process of developing gas infrastructure. These reforms are expected to unlock up to $2.5 billion in new oil and gas investments.
Geoffrey Pyatt, U.S. Assistant Secretary of the State Department’s Bureau of Energy Resources, praised the dialogue as a significant step toward advancing shared energy security, decarbonization, and economic growth between the U.S. and Nigeria.
The dialogue was attended by Nigerian officials, including Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, and representatives from various energy-related agencies. The U.S. delegation included officials from the Bureau of African Affairs, USAID, the U.S. Department of Energy, and the Export-Import Bank.
