Nigeria’s petroleum downstream sector has secured significant investments totalling $3.6 billion, paving the way for enhanced economic growth, job creation, and self-sufficiency in petroleum products.
The Nigerian National Petroleum Corporation (NNPC) disclosed that the investments will be channelled into upgrading existing refineries, constructing new ones, and expanding storage facilities.
According to NNPC Group Managing Director, Mele Kyari, “This landmark investment underscores our commitment to transforming the downstream sector. We are confident it will stimulate economic growth, improve Nigeria’s energy security, and reduce reliance on imported petroleum products.”
Oil and Gas expert, Dr. Adeola Adenikinju, noted that the Petroleum Industry Act (PIA) 2021 has provided fiscal incentives and regulatory clarity, making Nigeria an attractive destination for investors.
The investments are expected to increase domestic refining capacity, reduce imported petroleum products by 50%, and create over 10,000 direct and indirect jobs.
Economist, Dr. Biodun Adedipe, added that the downstream sector’s growth will have a positive ripple effect on the entire economy.
The International Energy Agency (IEA) has praised Nigeria’s efforts, with Executive Director, Fatih Birol, stating, “Nigeria’s commitment to developing its downstream sector is a significant step towards achieving energy self-sufficiency.”
Minister of State for Petroleum Resources (oil), Heineken Lokpobiri, reaffirmed the government’s support for investors, citing the PIA’s favourable business environment.
Nigeria’s downstream sector growth is poised to play a critical role in shaping the country’s economic future.