Nigeria Boosts Oil Production by 200,000 BPD, Unlocks $5.5 Billion in Investments to Attract Global Investors
The Federal Government of Nigeria has announced a significant boost to the country’s crude oil output following recent divestments by international oil companies (IOCs), adding about 200,000 barrels per day (BPD) to national production. Speaking at Africa Energy Week in Cape Town, South Africa, Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, described the divestments as not just asset transfers, but as a transfer of confidence and capability, which has already unlocked over $5.5 billion in new investments.
Senator Lokpobiri, delivering a keynote address on behalf of President Bola Tinubu, emphasized the administration’s commitment to creating a stable, transparent, and investor-friendly petroleum sector. “These divestments demonstrate Nigeria’s readiness to welcome long-term capital,” he said, noting that local firms like Seplat Energy, Oando, and Heirs Holdings have acquired significant stakes, increasing domestic participation in the oil industry.
The minister highlighted the impact of ongoing reforms under the Petroleum Industry Act (PIA) and initiatives like Project One Million Barrels, which have helped lift daily crude production to between 1.7 and 1.83 million BPD, with July 2025 alone seeing an increase of 300,000 BPD. Active drilling rigs in the country have surged from 31 in January to 50 by July 2025, signaling that policy reforms are effectively unlocking value across the sector.
Beyond national production, Lokpobiri called on African nations to retain more value from their hydrocarbon resources by focusing on local infrastructure, industrialization, and value chains. “Africa spends over $120 billion annually on hydrocarbon imports—a missed opportunity for transformation,” he said, urging greater intra-African collaboration and investment leveraging the continent’s nearly $4 trillion in domestic capital.
Concluding his address, the minister positioned Nigeria as a leading energy hub in Africa, inviting global investors to join the country’s energy revolution. “We are offering opportunities at scale, consistent reforms, clear incentives, and local participation with respect. Nigeria is ready to lead sustainable growth in the energy sector,” he declared, emphasizing that the nation would continue responsibly utilizing oil resources while building a diversified energy base.
source: punch