In a significant development for Nigeria’s oil and gas industry, the joint venture between NNPC Limited and TotalEnergies has declared a Final Investment Decision (FID) valued at $550 million for the Ubeta Field Development Project. This major investment aligns with President Bola Ahmed Tinubu’s Presidential Executive Order on Oil & Gas Reforms, which aims to enhance the investment climate and establish Nigeria as a premier destination for oil and gas investments in Africa. 
Discovered in 1964 and located north-west of Port Harcourt in the Niger Delta, the Ubeta field is set to produce approximately 350 million standard cubic feet per day (MMScf/day) of gas and 10,000 barrels per day (BBLS/day) of associated liquids once operational. This output will significantly contribute to Nigeria Liquefied Natural Gas (NLNG) Limited’s supply chain, tapping into the country’s substantial gas reserves.
The announcement was made during a well-attended ceremony at the NNPC Towers. Group Chief Executive Officer of NNPC Limited, Mallam Mele Kyari, acknowledged the vital support from stakeholders and emphasized the positive impact of President Tinubu’s administration in creating a favorable operational environment. “The Presidential Executive Order is instrumental in reaching this milestone, and we are now witnessing the beneficial impacts of these policies,” Kyari noted.
Senior Vice President for Africa, Exploration & Production at TotalEnergies, Mike Sangster, highlighted the strategic importance of the Ubeta project. “This new gas project, made feasible by recent government incentives for non-associated gas developments, aligns perfectly with our strategy of developing low-cost and low-emission projects. Ubeta will enhance the Nigerian economy through increased NLNG exports,” Sangster remarked.
Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, assured that President Tinubu’s policies have rejuvenated investor confidence in Nigeria’s oil and gas sector, promising more investments in the future. Similarly, Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, lauded the project as a testament to effective government policies fostering a conducive investment environment.
The Ubeta gas condensate field, located in OML58, will feature a new 6-well cluster connected to the existing Obite facilities via an 11 km buried pipeline. Production is slated to begin in 2027, with an expected output plateau of 300 million cubic feet per day, equating to roughly 70,000 barrels of oil equivalent per day, including condensates. The gas will be supplied to NLNG’s liquefaction plant on Bonny Island, which is expanding its capacity from 22 to 30 million tonnes per annum (Mtpa).
In alignment with environmental sustainability goals, the Ubeta project is designed as a low-emission, low-cost development. It will utilize existing gas processing facilities in OML58 and will further reduce carbon intensity through a 5 MW solar plant currently under construction at the Obite site and the electrification of the drilling rig.
TotalEnergies and NNPC Limited are committed to enhancing local content, with over 90% of project manhours expected to be worked locally. The robust Nigerian Content plan associated with the Ubeta project aims to stimulate economic activities, generate job opportunities, and create significant value for stakeholders.
The $550 million FID for the Ubeta Field Development Project underscores the concerted efforts by NNPC Limited and TotalEnergies, backed by strong executive support, to address challenges and improve the attractiveness of Nigeria’s oil and gas industry to foreign investors.
