President Bola Ahmed Tinubu has welcomed the $800 million Final Investment Decision (FID) on the Ima Gas Project, describing the development as another major milestone in efforts to unlock Nigeria’s vast gas resources for investment, industrialisation, job creation and economic growth.
The Ima Gas Project, developed by Nigerian independent oil and gas company AMNI International in partnership with TotalEnergies, is expected to produce approximately 300 million standard cubic feet of gas per day at peak production.
The gas resource, located offshore in Oil Mining Leases (OMLs) 112 and 117, was discovered in 1973 but remained undeveloped for more than five decades. Despite its significant reserves and potential to provide feedgas to Nigeria LNG Limited, the resource had remained largely untapped and unable to contribute significantly to the Nigerian economy.
The Final Investment Decision, announced on September 23, represents a major step towards commercialising the long-dormant resource. It also marks the fourth major gas project to reach FID since President Tinubu assumed office, following the Iseni, Ubeta and HI projects.
President Tinubu said the development demonstrated the impact of creating a more competitive and predictable investment environment for the energy sector.
“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. Our responsibility has been to create the conditions that turn Nigeria’s natural resources into productive investments and economic opportunities,” the President said.
He added: “The Final Investment Decision on Ima demonstrates what is possible when we provide investors with a competitive, predictable and enabling 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.”
The development comes against the backdrop of reforms introduced by the Tinubu administration to reverse years of underinvestment in Nigeria’s oil and gas industry. While the Petroleum Industry Act of 2021 established a new regulatory framework for the sector, several projects continued to face fiscal and commercial challenges that hindered their development.
In 2024, President Tinubu issued a series of Presidential Directives aimed at improving the competitiveness of the sector, shortening contracting timelines and reducing project costs. The reforms were developed by the team led by the Special Adviser to the President on Energy, Ms Olu Verheijen.
Verheijen described the Ima project as an example of how reforms can help move Nigeria’s natural resources from discovery to productive economic activity.
“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 said.
She further explained that the development of the Ima resource highlights the importance of capital investment and local participation in transforming natural resources into economic value.
“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,” Verheijen said.
The project also highlights the growing role of indigenous companies in Nigeria’s upstream petroleum industry. AMNI International, a Nigerian-owned exploration and production company, holds a majority interest in the asset, reflecting the increasing capacity of local firms to participate in and lead major energy developments.
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.
For decades, Nigeria has maintained one of Africa’s largest natural gas resource bases, but significant volumes have remained undeveloped. The Federal Government’s strategy is therefore focused not only on increasing gas production but also on ensuring that available gas is deployed to productive sectors of the economy.
The strategy includes supporting liquefied natural gas exports and foreign exchange earnings, providing feedstock for industries, enabling fertiliser and petrochemical production, improving power supply and creating new opportunities for Nigerian businesses and workers.
President Tinubu reiterated that the ultimate objective of the government’s gas reforms is to translate Nigeria’s natural resource wealth into tangible economic opportunities for citizens.
“Natural resources have value only when they are converted into opportunities for our people. Our goal is to ensure that Nigeria’s gas powers Nigerian prosperity,” PBAT said.