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TotalEnergies Urges Nigeria to Aim for Bankable Projects with Gas Reforms

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A call has gone to Nigeria to transform her ongoing oil and gas reforms into bankable projects capable of attracting long-term capital, boosting production and creating sustainable value.

The Country Chair and Managing Director of TotalEnergies EP Nigeria Limited, Matthieu Bouyer, made the call on Tuesday at the 5th PENGASSAN Energy and Labour Summit (PEALS) 2026 in Abuja.

The summit is themed: “Strengthening Regulatory Frameworks as a Catalyst for Stability and Growth in Nigeria’s Oil and Gas Industry.”

He said Nigeria’s biggest challenge was no longer a lack of resources or potential, but the ability to translate its vast opportunities and policy reforms into projects that investors could finance and execute.

“Nigeria does not lack potential. The real challenge is conversion,” he said.

READ ALSO: Shell Reinforces Safety Commitment at CEO Contractors Forum

The TotalEnergies chief said delays in project execution had consequences far beyond individual oil companies, warning that bottlenecks ultimately affect government revenues, employment, local content, host communities, workers and the confidence of future investors.

He said Nigeria was competing with other oil and gas jurisdictions for increasingly selective global capital, with investors weighing fiscal terms, regulatory stability, project execution timelines, security, emissions intensity, cost structures and the likelihood of projects being delivered before committing funds.

Bouyer said recent reforms, including the Petroleum Industry Act, fiscal incentives for non-associated gas and deepwater developments, measures to shorten contracting timelines and efforts to improve cost competitiveness, represented important steps towards restoring investor confidence.

He stressed that the success of the reforms would ultimately be measured by the projects they unlocked.

“Reform becomes real when it unlocks projects,” he said.

He cited the Final Investment Decision taken by TotalEnergies and the NNPC Limited in 2024 on the Ubeta gas development as an example of what could be achieved when policy, partnership and project maturity aligned.

According to him, Nigeria must also intensify exploration, describing it as “the renewal engine” of the petroleum industry.

Without sustained exploration, Bouyer warned, the country’s resource base would decline, with implications for future production, investment, jobs and Nigeria’s position in the global energy market.

He said TotalEnergies remained committed to Nigeria, where it has operated since 1956, adding that the company’s strategy was centred on operated assets where it could deploy its technical expertise to improve safety, operational efficiency, emissions reduction and project execution.

Bouyer also identified gas as a major opportunity for Nigeria, but said the resource could only become a significant driver of economic growth if the country developed the infrastructure and commercial structures required to support long-term investment.

He said gas projects required bankable contracts, credible offtake arrangements, payment discipline, timely approvals and commercial frameworks capable of supporting long-cycle investments.

“Gas resources should be converted into power, LNG, industrial growth and exports,” he said.

He added that the resource could support domestic energy access while providing opportunities for export and lower-emission production.

The TotalEnergies executive also linked emissions reduction to economic value, arguing that reducing gas flaring, recovering gas and tackling methane emissions could preserve valuable molecules for domestic consumption, exports and integration into the wider gas value chain.

He disclosed that TotalEnergies became the first E&P operator in Nigeria to eliminate routine flaring across all its operated assets at the end of 2023.

The company, he said, is also working with NNPC Limited on AUSEA, a drone-based technology for high-precision methane and carbon dioxide monitoring, while more than 2,500 sensors have been installed across its operated assets to facilitate real-time methane leak detection and faster intervention.

Bouyer further called for greater stability across the industry, arguing that sustainable investment requires a coordinated effort by government, regulators, operators, labour and host communities.

He said the government had a responsibility to provide clear policies and effective regulation, regulators must ensure predictable implementation, operators must maintain disciplined investment and safe operations, while labour and host communities must contribute to industrial harmony and trust.

Bouyer described industrial harmony as more than a labour issue, calling it a business enabler because it directly supports safety, production, investment and human capital development.

“If Nigeria wants long-term jobs, it must create the conditions for long-term projects, a competitive industry and a stable environment in which investors, workers and communities can see a future.”

In his welcome address, PENGASSAN President, Festus Osifo, said the theme reflected the growing concern among investors over regulatory uncertainty and the need for clear and predictable rules before capital could be committed to long-term projects.

Osifo warned that overlapping mandates among government agencies and regulatory uncertainty remained significant threats to investment in Nigeria’s oil and gas industry.

He said PENGASSAN’s summit was aimed at strengthening dialogue among government, regulators, operators, investors, labour and host communities to address the structural barriers holding back growth in the sector.

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Nigeria Hit Daily Averages 1.69mbpd of Crude, Condensate in October

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Nigeria produced a daily average of 1.687 barrels of crude oil and condensate in October 2026, and met its OPEC quota for the sixth consecutive month.

Data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) showed that in strict crude oil terms (excluding condensate), the country produced an average of 1.51mbpd in October.

This is 101 percent of the 1.5mbpd quota set by OPEC.

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The data, released on Wednesday, also shows that single-day production hit a peak of 1.79 million barrels, while the lowest for the month under review stood at 1.60 million bpd.

The crude oil data (excluding condensate) shows that Nigeria has met its assigned OPEC quota for six straight months, producing 1.53mobpd in May; 1.55mobpd in June; 1.51mobpd in July; 1.5mobpd in August, 1.53mobpd in September and 1.51mobpd in October.

On a month of month basis, however, production dipped by 1.7 percent.

The NUPRC attributed the stable performance in recent months to an enhanced operational stability, supported improved production uptime and crude evacuation efficiency.

The sustained growth recorded in October reflects the continued commitment of operators and industry stakeholders towards improving operational efficiency, maintaining asset integrity, and enhancing production reliability across the Nigerian upstream petroleum sector.

A breakdown of the daily average crude oil and condensate production by terminals/streams during the review month shows that Forcados Terminal accounted for 318.49kbpd while Bonny comes second with 311.02kbpd.

Qua Iboe Terminal recorded an average production of 173.97kbpd of crude oil and condensates while Escravos Oil Terminal posted a daily average of 134.67kbpd.

Bonga ranked as the fifth highest producing terminal, recording an average of 106.65kbpd of crude oil and condensate.

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Rig Count Hits 100, as NUPRC Approves 740 Drilling Jobs

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A total of 595 well re-entries and 145 new well-drilling operations, alongside 39 Field Development Plans (FDPs) have been approved in the first 10 months of 2026, as Nigeria intensifies efforts to ramp up crude oil production and attract fresh investments.

In addition, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has sanctioned 740 drilling-related operations in the same period, as Nigeria’s total rig count rose to 100, with 46 currently active in drilling operations.

These details were made public during the management session of the 44th Annual International Conference and Exhibition of the Nigerian Association of Petroleum Explorationists (NAPE) in Lagos on Tuesday, by the Chief Executive (CE), NUPRC, Oritsemeyiwa Eyesan.

The conference is held under the theme, “Energy Security in an Era of Global Disruption: Positioning Nigeria for Resilience, Competitiveness, and Prosperity.”

The approvals, which underscore increased regulatory activity in the upstream petroleum sector. Eyesan, who was represented by the Deputy Director, Basinal Administration, NUPRC, Ahmad Abdullahi, said the increased approvals reflected improvements in the Commission’s regulatory processes, particularly the time required to grant operational clearances.

READ ALSO: Adeleke Clarifies Osun Debt Profile

According to her, faster approval processes have reduced delays and the additional costs incurred by operators while waiting for regulatory authorisation to execute projects.

“Year to date, about 39 FDPs have been approved. About 145 new well-drilling approvals granted. Year to date, about 595 well re-entry approvals were granted.

That goes to tell that as a commission, we have improved our approval time level, which again reduces costs that are being wasted or for projects to continue to wait for approval,” she said.

She explained that the Commission’s priority was to ensure that regulatory approvals translated into increased production and adequate energy supply.

“From the regulator’s perspective, to ensure that our energy security is not threatened, we must ensure that we approve Field Development Plans and new well-drilling applications to meet our production targets and guarantee energy availability,” Eyesan stated.

On drilling activities, the NUPRC boss said Nigeria’s rig count had increased by more than 300 per cent compared with the level recorded in 2021, reflecting renewed activities in the upstream industry.

“We have more than 100 rigs in country. About 46 rigs are actively involved in drilling year to date. If you compare this with maybe what we had in 2021, you will see that you have more than about 300 per cent increase,” she said.

Eyesan attributed the growth in investment activities to improved regulatory certainty, noting that investors were more willing to commit capital when they had confidence in the policy and operating environment.

She also identified the Petroleum Industry Act (PIA) as a major factor in rebuilding investor confidence, particularly in the acquisition of seismic data required for oil and gas exploration.

The NUPRC chief disclosed that multi-client seismic companies had invested more than $100 million in seismic data acquisition in Nigeria within three years of the enactment of the PIA.

“Based on our record, in the last three years, from the enactment of PIA, multi-client companies have invested more than $100 million in acquiring seismic data in Nigeria,” she said.

The investments are expected to deepen geological understanding of the country’s sedimentary basins, improve exploration decisions and support the discovery of additional hydrocarbon reserves.

On efforts to tackle crude oil theft and improve security across the industry, Eyesan said the Commission had introduced initiatives, including the Advanced Cargo Declaration programme and coordinated surveillance operations involving the Nigerian National Petroleum Company Limited (NNPC), private security operators such as Tantita Security Services and the Nigerian Navy.

She said the Commission’s responsibility went beyond punishing errant operators and perpetrators of oil theft.

According to her, the broader objective was to establish an operating environment in which legitimate crude oil production would be more profitable than crude oil theft.

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Dangote Refinery, Fertiliser Expansion to Employ Over 90,000 in Lagos

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President/Chief Executive, Dangote Industries Limited, Aliko Dangote, has declared that over 90,000 people are expected to be working at the group’s petroleum refinery & petrochemicals and fertiliser operations in Lagos next year.

This is as the group accelerates investments to create jobs, strengthen industrial production and transform agriculture across Africa.

Dangote, who disclosed this in an interview, also unveiled plans to establish 20 fertiliser blending plants in strategic locations across the continent to improve farmers’ access to essential inputs and support year-round supply. The projects form part of an investment programme that could reach $65 billion over four years, spanning refining, fertiliser, petrochemicals, power, pipelines and other businesses.

“The refinery expansion is huge. By next year, we expect to have almost 90,000 people working on the refinery and fertiliser projects in Lagos,” he said.

READ ALSO: Shell Commends Oil Industry Reforms as Key to Unlocking More Barrels

Dangote said creating opportunities for Africa’s youthful population was a central motivation for the group’s expansion, stressing that the continent needed more factories and greater domestic production to meet its growing needs. “My biggest concern is job creation in Africa. We have a very youthful population, and we are not creating enough jobs. We must push harder to create opportunities and keep our young people productively engaged,” he said.

The refinery expansion will add another 700,000 barrels per day of processing capacity, taking the planned total to about 1.4 million barrels per day, alongside additional petrochemical facilities and infrastructure. Beyond energy, Dangote outlined a fertiliser expansion programme designed to help turn Africa’s agricultural potential into greater production, more reliable food supplies and economic opportunities.

“We also plan to establish 20 blending plants in strategic locations across Africa. We intend to begin mining potash and phosphate in Congo-Brazzaville very soon,” he said.

He disclosed that the group was working towards nine million tonnes of urea capacity, with plans for 1.2 million tonnes of diammonium phosphate, DAP, and one million tonnes of NPK blending capacity in Lagos. Dangote said the objective was to ensure that farmers in countries hosting the group’s operations, as well as neighbouring markets, could obtain fertiliser when needed, without the uncertainty associated with lengthy import and delivery processes.

“What we want is for the countries where we operate, and their neighbours, to have fertiliser available 365 days a year. Farmers should be able to buy it when they need it, without worrying about supply,” he said.

Citing Ethiopia, he explained that fertiliser imports had to pass through Djibouti before being transported inland, creating logistical challenges that could leave supplies arriving after the planting season. “With local production, the fertiliser will be available there. We will also have one million tonnes of NPK capacity attached to the project,” he said.

Dangote linked the programme to his determination that Africa should build the capacity to meet its own agricultural input requirements, rather than remain vulnerable to disruptions in international markets. “At the beginning of the Russia–Ukraine crisis, the African Union went to Russia to plead for fertiliser. I said then that, within four years, Africa should never again have to go anywhere to beg for fertiliser,” he said.

He expressed confidence that sufficient access to gas would enable a much larger expansion in fertiliser production. “If Africa needs 30 million tonnes and we can secure enough gas, we can produce and supply it,” he said. “Africa has an enormous agricultural advantage. We must lead the effort to turn that opportunity into a major agricultural transformation.”

The group’s wider investment programme includes an initial ambition to develop 10,000 megawatts of power with some African countries and increase cement capacity to 100 million tonnes. Dangote said reliable electricity was essential to industrial growth, enabling African countries to process their raw materials, retain more value within their economies and create opportunities for their people. He disclosed that approximately $50 billion of the planned investment would go into existing businesses, while another $15 billion would be directed towards new ventures, including projects yet to be announced. The programme would be financed through a combination of free cash flow, internally generated equity and debt, he said.

Dangote urged African investors to take the lead in developing the continent, arguing that substantial domestic investment would encourage international capital to follow.

“I am tired of hearing about ‘potential’. We have been talking about Africa’s potential for decades. But Africans themselves must invest in their continent,” he said. “What gives other investors comfort and confidence is seeing us put our own money on the table. That is what we are trying to do. We are demonstrating that we are serious.”

He argued that sustained investment by African businesses was essential to unlocking the continent’s industrial and agricultural opportunities, while giving international investors the confidence to participate.

“Governments are always calling for foreign investors. But what attracts a foreign investor is a domestic investor,” he said. “We must demonstrate that we are doing something substantial in Africa so that others can join us.”

Photo Caption: Group President/Chief Executive, Dangote Industries Limited, Aliko Dangote (left), in conversation with the President of the Republic of Namibia, H.E. Dr Netumbo Nandi-Ndaitwah, during the official launch of the Dangote Namibia Tank Farm and Regional Pipeline Investment in Walvis Bay, Namibia, recently.

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