By Emmanuel Nduka
Oil and Gas giants, ExxonMobil, has unveiled plans to invest up to $10 billion in Nigeria’s deep-water oil operations, Heritage Times HT reports.
The landmark investment was secured on Wednesday after a high-level meeting with Vice President Kashim Shettima and ExxonMobil executives on the sidelines of the ongoing 79th Session of the United Nations General Assembly in York, United States.
Shettima welcomed the proposal, describing it as a clear testament to the administration’s economic reforms and investment-friendly policies.
The investment comes as the international maritime giant, DP World, also announced plans to develop a multibillion-dollar port project in Nigeria.
“This potential investment by ExxonMobil aligns perfectly with the President Bola Ahmed Tinubu administration’s vision for a more investment-friendly Nigeria.
“We are committed to creating an enabling environment for such transformative projects,” the VP declared.
Addressing the specific concerns of Nigeria’s Oil and Gas sector, the Vice President continued, “We are actively working on revising the fiscal framework for deep-water operations.
“Our goal is to strike a balance between attracting investments and ensuring fair returns for the Nigerian people. The potential ExxonMobil investment is a clear indication that we are moving in the right direction.
“As we welcome ExxonMobil’s renewed commitment, we see this as just the beginning. Our doors are open to all investors across various sectors.
“The message is clear: Nigeria is open for business, and the President Tinubu administration is your partner in progress.”
Chairman and Managing Director of ExxonMobil Affiliates in Nigeria, Shane Harris, had earlier reaffirmed the company’s commitment to investing in Nigeria.
“Our commitment to Nigeria remains unwavering.
“As we celebrate 70 years of oil production and 8 billion barrels produced, we’re not retreating but refocusing our investments on deep-water opportunities,” Harris said.
Heritage Times HT reports that the centerpiece of ExxonMobil’s new strategy is the Owo project in London State, a substantial subsea tie-back that could represent a $10 billion investment.
“We’re working closely with the President’s office and the Special Adviser to the President to secure favourable fiscal arrangements that will make this significant investment possible,” Harris explained.
Aside the planned divestment of its onshore assets to Seplat Energy, ExxonMobil also aims to inject $1 billion annually into maintenance operations and an additional $1.5 billion to boost production by 50,000 barrels per day over the next few years.