President Bola Tinubu has welcomed the $800m Final Investment Decision on the Ima Gas Project, describing the development as a significant step towards unlocking Nigeria’s long-undeveloped gas resources for industrialisation, investment and job creation.
The Presidency said the project, being developed by Nigerian independent exploration and production company AMNI International in partnership with TotalEnergies, is expected to produce about 300 million standard cubic feet of gas per day at peak.
The Ima gas resource, located offshore in Oil Mining Leases 112 and 117, was discovered in 1973 but remained undeveloped for more than five decades. The latest FID is expected to pave the way for development of the resource, which has the potential to provide feedgas for Nigeria LNG Limited.
Tinubu said the investment reflected the importance of creating a predictable and competitive environment for investors.
“For more than fifty years, the gas beneath Ima remained a resource with enormous potential, but potential alone does not create jobs, finance businesses or improve the lives of our people,” he said.
“Our responsibility has been to create the conditions that turn Nigeria’s natural resources into productive investments and economic opportunities.”
The President added that the project demonstrated what could be achieved when investors operate within a competitive and predictable investment environment.
“We are determined to unlock more of Nigeria’s gas resources to power our industries, expand our exports, create jobs and build lasting prosperity for our people.”
Gas development strategy
Tinubu said Nigeria has one of Africa’s largest gas resource bases, but significant volumes have remained undeveloped for decades.
He said the administration’s gas strategy is focused not only on increasing production but also on putting the resource to productive use through LNG exports, foreign exchange earnings, industrial feedstock, fertiliser and petrochemical production, improved power supply and opportunities for Nigerian businesses and workers.
“Natural resources have value only when they are converted into opportunities for our people,” the President said.
“Our goal is to ensure that Nigeria’s gas powers Nigerian prosperity.”
The Ima project is the fourth major gas project to reach FID since Tinubu assumed office, following the Iseni, Ubeta and HI projects.
The projects form part of government efforts to attract investment into Nigeria’s gas industry and convert undeveloped resources into productive assets capable of supporting jobs, government revenue and wider economic activity.
Reforms target oil and gas investment
The development comes against the backdrop of reforms introduced by the Tinubu administration to address long-standing investment challenges in the oil and gas sector.
Although the Petroleum Industry Act 2021 established a framework for investment, several projects remained stalled by fiscal, commercial and regulatory challenges.
In 2024, the President issued a series of Presidential Directives developed by a team led by the Special Adviser on Energy, Olu Verheijen. The measures were designed to improve fiscal competitiveness, reduce project costs and shorten contracting timelines.
Verheijen said the Ima project illustrated the intended impact of those reforms.
“The story of Ima is ultimately the story of what our reforms are designed to achieve. Nigeria has never lacked resources. The challenge has been creating the commercial and investment conditions required to move those resources from beneath the ground into projects that employ Nigerians, create opportunities for Nigerian businesses, generate revenues and support economic growth.”
She added that the development represented the transition from resource discovery to commercial production.
“A gas discovery made in 1973 can only contribute to prosperity when somebody invests the capital to develop it, banks finance it, contractors build it, Nigerians work on it, and the gas is ultimately put to productive use.
“That is the transition we are seeing today.”
Nigerian participation in project financing
The project also highlights the participation of Nigerian companies and financial institutions in the energy value chain.
AMNI International, a Nigerian-owned exploration and production company, holds a majority interest in the asset.
Nigerian financial institutions have arranged 77 per cent of the project’s financing, while about 60 per cent of the project workforce is expected to come from host communities, including Bonny, Finima and Andoni in Rivers State.
The project is expected to add to Nigeria’s gas supply base and potentially strengthen the availability of feedgas for domestic industrial activity and LNG production.
With the FID now reached, attention will turn to the development and execution of the project and its eventual delivery of the expected gas volumes.
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