Nigeria is set to unlock the long-delayed Ima Gas Field, located in Oil Mining Lease 112 and 117, following the signing of an $800 million Final Investment Decision by TotalEnergies and AMNI International. The project, discovered in 1973, is expected to produce about 350 million standard cubic feet of gas per day, adding significantly to the country's gas supply while creating a new stream of investment, jobs, and export opportunities. First gas is expected in 2028.
President Bola Tinubu welcomed the FID, describing it as another milestone in efforts to unlock stranded gas resources and turn them into investment, jobs, industrial activity, and economic opportunities. Tinubu stated that his administration has prioritized reforms to reverse years of underinvestment in Nigeria's oil and gas industry. He issued a series of presidential directives in 2024 to improve fiscal competitiveness, shorten contracting timelines, and reduce costs.
The Ima project is located about eight kilometers off Bonny Island in Rivers State and is expected to supply feedgas to Nigeria LNG Limited. Despite its significant reserves and potential, the field had remained undeveloped for more than five decades. The development marked the latest major commitment by international and indigenous energy companies to Nigeria's upstream sector, following a series of regulatory and fiscal reforms introduced by the federal government.
Total Nigeria CEO, Mike Sangster, expressed confidence in the FG's oil reforms, stating that they are working. He noted that up to $4 billion in value is expected over the lifetime of the gas facility. The project is expected to create a new stream of investment, jobs, and export opportunities, contributing to Nigeria's economic growth.
Nigerian financial institutions arranged 77 percent of the project's financing, with around 60 percent of the project workforce expected to come from host communities, including Bonny, Finima, and Andoni, all in Rivers State. This is in line with the government's efforts to ensure that local communities benefit from the project.
The Ima Gas Field project is a significant milestone in Nigeria's efforts to unlock its gas resources and turn them into economic opportunities. The project is expected to power industries, expand exports, create jobs, and build lasting prosperity for Nigerians. The FG is determined to unlock more of Nigeria's gas resources.
The project is a major boost to Nigeria's gas supply and is expected to contribute to the country's economic growth. With first gas expected in 2028, the project is set to make a significant impact on Nigeria's energy sector. Key aspects of the project include its potential to create jobs, generate revenue, and contribute to Nigeria's economic growth.
Key points
- The Ima Gas Field project is expected to produce 350 million cubic feet of gas daily.
- The project is expected to create a new stream of investment, jobs, and export opportunities.
- Up to $4 billion in value is expected over the lifetime of the gas facility.
