FG urges private investors to fund oil refining, gas projects

The Federal Government has urged private investors to fund Nigeria's oil refining and gas projects, emphasizing that increased crude production must be matched with investment in the midstream and downstream petroleum sectors. Petroleum Technology Development Fund Minister, Heineken Lokpobiri, made the call during the inaugural 2026 PTDF Journal Summit in Abuja, noting that ongoing reforms aim to restore investor confidence and create a more predictable environment for private capital.

Lokpobiri highlighted that Nigeria's crude production rose from about one million barrels per day in 2023 to over 1.7 million barrels per day, while active drilling rigs increased from 14 to over 60. He stressed that the federal government, under President Bola Tinubu's leadership, recognizes the need for strong private sector participation to sustainably develop the Nigerian petroleum sector.

The reforms aim to improve regulatory certainty, create conditions for sustainable private sector investment, and develop infrastructure for efficient transportation, storage, refining, and distribution of petroleum products. Challenges remain, including infrastructure deficits, logistics costs, regulatory uncertainty, market volatility, and financing challenges.