Nigeria Secures $10bn Investment for Deep-Water Oil Expansion
Nigeria has secured a landmark $10 billion investment from ExxonMobil to boost its deep-water oil operations, marking a major vote of confidence in the country’s oil sector amid ongoing economic reforms.
The announcement was made by Shane Harris, chairman and managing director of ExxonMobil Affiliates in Nigeria, during a high-level meeting with Vice President Kashim Shettima on the sidelines of the United Nations General Assembly (UNGA) in New York.
Harris emphasized ExxonMobil’s long-term commitment to Nigeria, noting that the oil giant is refocusing its efforts on deep-water opportunities, including the centerpiece Owo project, a subsea tie-back initiative poised to attract the bulk of the $10 billion investment.
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He also highlighted ExxonMobil’s ongoing collaboration with President Bola Tinubu’s administration to secure favorable fiscal terms, ensuring the project’s feasibility.
Economic analysts have reacted positively to the announcement, viewing it as a significant indicator of investor confidence in Nigeria’s energy sector. “This investment sends a powerful message to the global oil market,” said industry analyst Gbenga Olaniyi.
“ExxonMobil’s decision to commit such a substantial sum to deep-water oil signals that Nigeria remains a key player in the global energy landscape, despite challenges like oil theft and regulatory hurdles.”
In addition to the $10 billion deep-water investment, ExxonMobil plans to inject $1 billion annually into maintenance operations and an extra $1.5 billion to boost daily production by 50,000 barrels over the coming years.
Analysts believe these measures will help stabilize Nigeria’s oil output, which has faced volatility in recent times.
