Nigeria Offers World-Class Incentives to Bring Back Oil and Gas Companies

The Nigerian government has announced plans to offer competitive incentives to attract international oil and gas companies back to the country. Officials say they are ready to match the best investment packages available anywhere in the world.

The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, made these comments while meeting with representatives from Vaalco Energy, an American oil and gas company. The company wants to return to Nigeria by buying Svenska’s stake in Oil Mining Lease (OML) 145.

Lokpobiri said President Bola Tinubu is particularly interested in creating better conditions for companies that previously operated in Nigeria but left for various reasons. “We are prepared to offer incentives comparable to the best available globally,” the minister said.

Vaalco Energy’s Managing Director, Pieter Van der Groen, explained that his company sees Nigeria as a key investment location. As a company listed on the New York Stock Exchange, it has access to funding needed for development projects. “We have access to funding to develop the assets we acquire. We are not here to sit on them; we are here to produce,” he said.

Minister Lokpobiri assured investors that Nigeria’s current policies provide the clarity and stability that companies need for long-term success. He said the government has created investor-friendly frameworks that encourage partnerships.

Many international oil and gas companies reduced their operations in Nigeria or left entirely in recent years due to various challenges including policy uncertainty and complex regulatory processes. The government’s new approach appears designed to address these historical concerns.

The minister highlighted that bringing back experienced companies like Vaalco Energy would help Nigeria increase its oil and gas production, which aligns with the country’s national energy goals. “Your renewed presence will help us ramp up production and achieve our national energy objectives,” Lokpobiri told the delegation.