Tinubu hails $800m Ima gas FID as Nigeria unlocks decade-old gas resources

President Bola Ahmed Tinubu has welcomed the $800 million Final Investment Decision (FID) on the Ima Gas project, marking another major milestone in his administration’s commitment to unlocking Nigeria’s vast gas resources for investment, industrialisation, job creation and economic prosperity.

Developed by independent Nigerian firm AMNI International in collaboration with TotalEnergies, the Ima Gas project is expected to produce around 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 fifty years. Despite its significant reserves and potential as a source of feed gas for Nigeria LNG Limited, the resource has remained underground and unable to contribute significantly to Nigeria’s economy. The FID, announced on September 23, changed this.

The Ima gas project marks the fourth major gas project to reach final investment decision since President Tinubu assumed office, after Iseni, Ubeta and HI FID.

These FIDs reflect the growing momentum of investment in Nigeria’s gas sector and the administration’s drive to convert the country’s vast gas resources into productive projects that create jobs, generate revenue and expand economic opportunities for Nigerians.

“For more than fifty years, gas under Ima has remained a resource with enormous potential, but potential alone does not create jobs, fund businesses or improve the lives of our people. Our responsibility has been to create the conditions that transform Nigeria’s natural resources into productive investments and economic opportunities.

“The final investment decision on Ima demonstrates what is possible when we provide investors with a competitive, predictable and enabling environment. We are determined to unlock more of Nigeria’s gas resources to power our industries, expand our exports, create jobs and build lasting prosperity for our people,” he said.

Since taking office, President Tinubu has prioritized reforms aimed at reversing years of underinvestment in Nigeria’s oil and gas industry.

While the Petroleum Industry Act of 2021 laid important groundwork, several undeveloped projects lacked the fiscal and business conditions needed to become sustainable.

In 2024, President Tinubu issued a series of presidential directives developed by the team led by the Special Adviser to the President on Energy. These directives aimed to improve tax competitiveness, shorten contract times and reduce costs.

Special Adviser to the President on Energy, Olu Arowolo Verheijen, said: “Ima’s story is ultimately the story of what our reforms are designed to achieve. Nigeria has never lacked resources. The challenge has been to create the business and investment conditions needed to move those resources out of the ground into projects that employ Nigerians, create opportunities for Nigerian businesses, generate revenue and support economic growth.

“A gas discovery made in 1973 can only contribute to prosperity when someone invests the capital to develop it, banks finance it, contractors build it, Nigerians work on it, and the gas is ultimately used productively. This is the transition we are witnessing today.”

The project also demonstrates the growing depth of Nigerian participation across the energy value chain.

AMNI International, a Nigerian-owned exploration and production company, holds a majority stake in the asset, demonstrating the growing ability of indigenous companies to participate in and drive increasingly significant developments in Nigeria’s upstream sector.

Nigerian financial institutions have arranged 77% of the project’s financing, with around 60% of the workforce expected to come from host communities, including Bonny, Finima and Andoni in Rivers State.

For decades, Nigeria has had one of Africa’s largest gas resource bases, but significant volumes remained undeveloped.

The Tinubu administration’s gas strategy therefore focuses not simply on producing more gas, but on using it: supporting LNG exports and foreign exchange earnings, providing raw materials for industry, enabling the production of fertilizers and petrochemicals, supporting a more reliable energy supply, and creating new opportunities for Nigerian businesses and workers.

“Natural resources only have value when they are converted into opportunities for our people,” said President Tinubu.

“Our goal is to ensure that Nigeria’s gas fuels Nigerian prosperity.”