Business
NNPC Ltd Credits Reforms With $24bn Investments Boost for Three Million bpd Oil Target
With Nigeria focused on efforts to achieve its three million barrels per day production target, recent reforms in the oil and gas sector have unlocked over $24bn in fresh investments, with an additional $10bn currently in the pipeline.
The Nigerian National Petroleum Company Limited made the revelation through its Group Chief Executive Officer, Bayo Ojulari, on Thursday, in Abuja, at the 2026 Oloibiri Lecture and Energy Forum, where industry leaders converged to chart the future of Nigeria’s upstream sector.
The lecture in its 26th edition was themed, “Beyond the Three Million Barrels Target: Harmonising Digitalisation, Capital and Policy Frameworks for Intelligent Operations and Asset Optimisation.”
Organised by the Society of Petroleum Engineers, OLEF gathers policymakers, industry leaders, and academics to foster innovation and growth.
Ojulari, who was represented by the Executive Vice President, Upstream, Udobong Ntia, said the resolution of long-standing disputes and previously stalled Final Investment Decisions had significantly boosted investor confidence.
He also stated that the national oil company is ramping up AI pilots and digital mining of decades-old data to slash costs and propel Nigeria’s upstream sector toward a 3 million barrels per day (bpd) production goal.
He said, “Shortening the project cycle is very important. It would help us a lot. The resolution of long-standing issues, including legacy asset disputes and previously stalled FIDs, has unlocked significant investor confidence. These interventions have contributed over $24bn in capital investment from just two projects.”
He added, “I haven’t even added Owowo. There is an extra $10bn in the works, and some others that we are looking at very closely. Bosi has just passed gate one with the operators. Who knew Bosi would be headline news? There is a lot to look forward to.”
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The NNPC Ltd boss said Nigeria now has a potential investment pipeline of about $34bn, combining confirmed and prospective inflows, describing it as a strong signal of renewed global confidence in the country’s oil and gas sector.
He stressed that beyond funding, the country must urgently embrace digital transformation, warning that failure to adopt artificial intelligence could leave operators uncompetitive.
He added, “I’ve been preaching AI for a long time, and it has now become an imperative. If we don’t do it, we’re going to be buried, frankly.”
“It is no longer a nice-to-have. It is an absolute necessity. We have spent a lot of money digitising our data, but if we don’t mine it, we will lose one of the most critical variables in the oil industry — data. We have to, and NNPC has shown leadership, spent a lot of money digitising all our data. Nigeria’s business are so mature and data-rich that if we don’t do anything about it, we will lose in the future one of the things that will be the most important variables you will have in the oil industry, data. We have to learn how to mine it.
“We have to do it as an imperative, otherwise our costs will balloon out of this world. There’s so much we can do, and we need to stay focused on that. The thing before us, beyond the 3 million barrels target, is both timely and instructive.
It recognises that reaching and sustaining 3 million barrels per day is not merely a production aspiration but a commercial, regulatory, and capital slash digital opportunity. What I have in my notes is a digital challenge, but it’s frankly an opportunity if we begin to shift our focus to what really matters. It’s not just the operators that need to begin to move in that direction, it’s also the service providers.”
According to him, Nigeria holds decades of untapped data dating back to the first commercial oil discovery in 1956, much of which remains underutilised.
“We have logs still on paper, seismic data that have not been analysed. There is so much we can do. With technology alone, the three-million-barrel target is within sight in the next three to four years,” he stated.
Ojulari outlined a three-pronged strategy by NNPC to achieve the production target, including protecting existing assets, accelerating near-term production growth, and restructuring the company’s portfolio to attract new investors.
“To support Nigeria’s aspiration to reach and sustain three million barrels per day, NNPC Limited is executing a clearly sequenced, commercially grounded, three-stage strategy. And I want you to listen to this. The first one, we are protecting the base. Very important, we protect the base.
“What has been produced, the assets we have, ensure we keep integrity going. I mean, there are two words I want to try to eliminate. Two words I want to eliminate from our dictionary in the upstream and it’s called aged facilities. Some of us have worked abroad. And when we see facilities, a 10-year asset is looking brand new just by the way they maintain it. So the culture has to change across the board.
“Second, accelerating near-term growth. Through innovative commercial and financing frameworks, including alternative funding structures and optimised risk sharing, we are fast-tracking mature projects capable of delivering incremental barrels in the near-term. So you protect the base in the first case. In the second case, you accelerate near-term growth.
“And the third thing we’re working on is strategic portfolio review, which a number of you may have heard about. We’re reshaping our portfolio to unlock value, to enable new oil from new players. And I put that in parentheses. New oil from New players. Give people the opportunity to come invest in incremental production, and let’s see how that would go.
“We want to deepen indigenous participation and attract capital and capabilities. Capital is going to go towards the path of least resistance. It doesn’t like uncertainty. When you make a law, you stay with it. They want to stay for up to five or seven years. And they can’t wake up one morning, and the law has changed.”
He noted that improved regulatory clarity under the Petroleum Industry Act had helped eliminate funding bottlenecks, particularly the long-standing issue of cash call arrears.
“I don’t think any company can say it has struggled with cash calls in the last one and a half years. The PIA has helped tremendously,” he added.
He further described the three million barrels target as more than a production goal, saying it is a test of Nigeria’s regulatory efficiency, capital discipline, and digital readiness.
“We are grateful for the PIA and the executive orders that the president has signed in the last year. They have really helped advance a number of things. We have seen movements in some deepwater assets that have been in legacy litigation for a while. We have seen advancements in key deepwater assets as well, inching closer to Final investment decisions. And we are glad that we would have them in our portfolio to make up the 3 million barrels that we are looking at, we think it is going to be more, but let’s just stick to 3 million barrels,” he said.
Also speaking, the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, said Nigeria already possesses the technical capacity to transform its energy sector, but must now demonstrate stronger execution.
“It tells me that the intelligence is already there. What remains is the political will, and that has been clearly provided by Mr President through executive orders and reforms,” he said.
He described the Petroleum Industry Act as a turning point for the sector, noting that it had created a more transparent and investor-friendly environment.
“The PIA marks a watershed. It provides clarity, predictability, and a framework that supports innovation and long-term value creation,” Ekpo stated.
The minister emphasised that achieving higher oil production must go hand-in-hand with increased gas utilisation, describing gas as central to Nigeria’s economic transformation.
“Natural gas remains at the heart of our energy future. It is not just a transition fuel, it is a catalyst for industrialisation, power generation, and export diversification,” he said.
He added that digitalisation, capital investment, and sound policy must work together to unlock Nigeria’s full energy potential.
“Digital technologies such as artificial intelligence and automation will reduce downtime, improve efficiency, and enhance safety. But capital will only flow where there is stability and clear returns,” he said.
The Oloibiri Lecture and Energy Forum, organised by the Society of Petroleum Engineers Nigeria Council, commemorates Nigeria’s first oil discovery in Oloibiri, Bayelsa State, in 1956, and serves as a platform for policy and technical dialogue in the energy sector.
Stakeholders at the event agreed that while Nigeria has the resources and policy framework to scale production, execution, regulatory consistency, and technology adoption will determine whether the country can compete effectively in the evolving global energy market.
Earlier in the Chief sponsors’ remarks, the Executive Secretary of the Petroleum Technology Development Fund, Shuaibu Shehu, insisted that players in Nigeria’s oil and gas sector must integrate digital technologies, efficient capital use, and robust policies to exceed the three million barrels per day production target.
Represented by the general manager, Research and Innovation, PTDF, Olayinka Agboola, Prof. Shehu, highlighted gains from the PIA, which has enhanced investor confidence and regulatory clarity.
Digital tools like automation, AI, IoT, machine learning, and robotics are now transforming operations, slashing costs, and sharpening decision-making across the value chain.
The gas sector also shows promise, with infrastructure drives boosting industrialisation, energy access, and Nigeria’s role in the global energy transition.
He said the PTDF is ramping up human capital efforts through PhD Split-Site Programmes, Centres of Excellence in Kaduna and Port Harcourt, specialised tech trainings, STEM initiatives, and academia-industry partnerships.
“We prioritise sustainable local capacity over international dependence,” Agboola noted, pushing research commercialisation to tackle real challenges.
However, challenges remained, including operational hurdles, regulatory delays, and the need for collaboration among regulators, operators, financiers, and trainers, he noted.
Business
MDGIF Hunts $20bn in Global Funds for Gas Infrastructure
The Midstream and Downstream Gas Infrastructure Fund (MDGIF) is stepping up efforts to attract international capital for critical gas infrastructure projects as it seeks to help close Nigeria’s estimated $20 billion annual funding gap in the sector.
The Fund is expanding its collaboration with international financial institutions, including a $500 million agreement with the African Export-Import Bank (Afreximbank), as part of efforts to unlock fresh investment and accelerate the development of Nigeria’s vast gas resources.
Executive Director of the MDGIF, Mr. Oluwole Adama, said the gas infrastructure business remains highly capital-intensive and largely unattractive to conventional commercial lenders because of the long gestation periods and risks associated with such investments.
Adama disclosed this at a recent industry event in Abuja.
He said the Fund was nevertheless supporting about 200 gas infrastructure projects across the country as part of efforts to unlock Nigeria’s estimated 200 trillion cubic feet of gas reserves.
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Adama said the Fund had reached Final Investment Decisions (FID) on 31 projects and supported the construction of more than 200 pieces of gas infrastructure in the past 18 months.
According to him, 10 of the projects have already been commissioned, while another six to eight gas processing plants, as well as more than 50 CNG mother and daughter stations, are expected to be commissioned between October and December 2026.
Established under the Petroleum Industry Act (PIA) 2021, the MDGIF was created to de-risk investment in midstream and downstream gas infrastructure and catalyse private sector participation.
Adama said the Fund was deliberately adopting a different financing model by providing “patient capital through equity ownership rather than traditional loans or grants.”
He explained that the strategy was designed to make capital-intensive gas projects more bankable, particularly in an environment where high commercial lending rates make long-term infrastructure financing difficult.
He stressed that greater utilisation of gas was critical to Nigeria’s energy transition, noting that gas offers a cheaper alternative fuel for automobiles and has significant potential to meet other energy needs.
Also speaking at the event, Executive Director, Finance and Accounts, Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Mr. Abiodun Adeniji, expressed optimism that the planned African Energy Bank would help address the financing challenges confronting the continent’s energy sector.
Adeniji said the bank could provide financing at rates closer to those available in international markets, rather than the double-digit interest rates typically charged by Nigerian commercial banks.
He also called for stronger funding support for the MDGIF, arguing that adequate capital would enable the Fund to play a more effective role in developing the country’s gas infrastructure.
The Fund’s intervention has already attracted significant capital into gas infrastructure projects. In May 2026, the MDGIF was reported to have committed more than N430 billion to gas infrastructure projects nationwide amid the Federal Government’s commissioning of four flagship Compressed Natural Gas (CNG) projects.
At the time, Hussaini Basaka, Director-in-Charge of Project Management at the MDGIF, said the Fund’s investment had helped catalyse substantially larger private sector investments.
“In ballpark terms, the MDGIF has invested over N430 billion and catalysed about ten times that amount, about N1.6 trillion, in investments,” Basaka said.
He disclosed that, for one of the projects in Abuja, the MDGIF took a 45 per cent equity stake through a substantial capital commitment.
Beyond infrastructure financing, the Federal Government has also introduced interventions aimed at accelerating the adoption of CNG as an alternative transport fuel.
In March 2025, the government launched a N2.5 billion credit scheme to support vehicle conversions to CNG and the local manufacturing of conversion kits.
The Presidential Compressed Natural Gas Initiative (PCNGi) said the scheme was designed to reduce transportation and energy costs, expand gas-based mobility and provide financial relief to Nigerians.
Business
Inflation Falls to 15.43% as Food Prices Surge to 20.31% — NBS
Nigeria’s headline inflation rate fell to 15.43 per cent in July 2026, from 15.91 per cent in June, according to the latest Consumer Price Index (CPI) report released by the National Bureau of Statistics (NBS).
The NBS, in its report released on Monday, said the July figure represented a 0.48 percentage-point decline compared with the previous month.
On a month-on-month basis, headline inflation stood at 1.57 per cent in July, down from 1.66 per cent recorded in June.
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The statistics agency explained that the decline meant the average price level increased at a slower rate in July than in the preceding month.
Despite the drop in headline inflation, however, food inflation continued to put pressure on consumers, rising to 20.31 per cent year-on-year in July.
According to the NBS, the increase in food inflation was driven by rising prices of commodities including rice, water yam and plantain.
Food inflation also increased significantly on a month-on-month basis, reaching 5.56 per cent in July, compared with 3.75 per cent in June.
The NBS attributed the monthly increase to changes in the prices of crayfish, fresh pepper, onions, carrots, rice, water yam, tomatoes, garri, plantain, beef, eggs, guinea corn, ginger and plantain flour, among other food items.
At the state level, Adamawa recorded the highest month-on-month food inflation at 17.02 per cent, followed by Lagos at 13.48 per cent and Borno at 13.26 per cent.
Meanwhile, Jigawa, Kebbi and Bauchi recorded declines of 3.68 per cent, 3.67 per cent and 1.85 per cent respectively.
On a year-on-year basis, Adamawa recorded the highest food inflation at 51.36 per cent, followed by Katsina at 30.84 per cent and Zamfara at 30.65 per cent.
Borno recorded a slight decline of 0.31 per cent, while Nasarawa and Kebbi recorded the slowest increases at 6.88 per cent and 12.50 per cent respectively.
The latest figures show that while Nigeria’s overall inflation rate eased in July, food prices remained a major source of pressure on households across the country.
Business
EFCC Brokers Structured Repayment Plan over Nestoil
The Chairman of the Economic and Financial Crimes Commission (EFCC), Mr. Olanipekun Olukoyede, has led a major breakthrough in the Commission’s ongoing investigation into the alleged criminal aspects of transactions involving Nestoil Limited and a consortium of its lenders.
At a meeting convened and chaired by the EFCC Chairman, a structured repayment plan was agreed between Nestoil Limited and the consortium of lenders as part of efforts to recover outstanding indebtedness. The agreement has already yielded significant results, with US$60 million recovered from Nestoil Limited and paid to the consortium during the course of the investigation.
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The payment by Nestoil, facilitated by a team of operatives from the EFCC Lagos Zonal Directorate 2 led by the Head of Investigation, Mr. Oguzi Moses, represents a significant milestone in the Commission’s commitment to promoting accountability, protecting the interests of financial institutions, and safeguarding depositors’ funds.
While welcoming the payment as an encouraging development, the consortium of lenders noted that it represents only the first phase of the repayment process, as a substantial portion of the outstanding debt remains to be settled. The lenders reaffirmed their commitment to working closely with the EFCC and other relevant stakeholders to ensure the seamless continuation of the recovery process until the outstanding indebtedness is fully liquidated.
The lenders also reiterated their commitment to supporting the EFCC by providing all relevant documents required for the diligent prosecution of the investigation, while ensuring that all parties comply with the law and that the recovery process remains lawful, transparent, and commercially responsible.
The EFCC reaffirmed its resolve to pursue the investigation to its logical conclusion and to ensure the full recovery of depositors’ funds in accordance with the law.





