The $800 million Ima Gas Project has reached Final Investment Decision (FID), paving the way for the development of a gas resource discovered more than 50 years ago and expected to strengthen Nigeria’s gas supply, industrial activity and economic opportunities.
President Bola Ahmed Tinubu welcomed the FID announced on September 23, describing it as a major milestone in efforts to unlock Nigeria’s gas resources for investment, industrialisation, job creation and economic growth.
Developed by Nigerian independent energy company AMNI International in partnership with TotalEnergies, the project is expected to produce about 300 million standard cubic feet of gas per day at peak.
The Ima gas resource, located offshore in OMLs 112 and 117, was discovered in 1973 but remained undeveloped for more than five decades.
The Presidency said the resource had significant reserves and potential as a feed gas source for Nigeria LNG Limited but had remained underground and unable to contribute meaningfully to the economy.
Tinubu said the FID demonstrated the impact of creating a competitive and predictable investment environment for the oil and gas 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,” the President said.
“Our responsibility has been to create the conditions that turn Nigeria’s natural resources into productive investments and economic opportunities.”
Tinubu said the government would continue efforts to unlock more of Nigeria’s gas resources to support industries, expand exports, create jobs and drive economic growth.
“The Final Investment Decision on Ima demonstrates what is possible when we provide investors with a competitive, predictable and enabling environment,” he said.
The Ima project is the fourth major gas project to reach FID since Tinubu assumed office, following the Iseni, Ubeta and HI FIDs.
The Presidency said the projects reflected growing investment momentum in Nigeria’s gas sector and efforts to convert the country’s gas resources into productive projects that generate jobs, revenues and economic opportunities.
Special Adviser to the President on Energy, Olu Verheijen, said the Ima project demonstrated the purpose of the administration’s reforms in the sector.
“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.
Verheijen said the development of the Ima resource required investment, financing, contractors and Nigerian workers before the gas could be put to productive use.
“That is the transition we are seeing today,” she said.
The project also highlights growing Nigerian participation in the energy value chain, with AMNI International, a Nigerian-owned exploration and production company, holding a majority interest in the asset.
According to the Presidency, Nigerian financial institutions 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.
The Tinubu administration said its gas strategy is focused on using the resource to support LNG exports and foreign exchange earnings, provide feedstock for industries, enable fertiliser and petrochemical production and support more reliable power supply.
“Natural resources have value only when they are converted into opportunities for our people,” Tinubu said.
“Our goal is to ensure that Nigeria’s gas powers Nigerian prosperity.”