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Oil & Gas

President Tinubu Hails $800m IMA Gas FID As Nigeria Unlocks Five-Decade-Old Gas Resource

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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 drive to unlock Nigeria’s vast gas resources for investment, industrialisation, job creation and economic prosperity.

Developed by Nigerian independent AMNI International in partnership with TotalEnergies, the Ima Gas 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.

Despite its significant reserves and potential as a source of feedgas for Nigeria LNG Limited, the resource remained underground and unable to contribute meaningfully to Nigeria’s economy. The FID, announced on September 23, has changed this.

The Ima gas project marks the fourth major gas project to reach Final Investment Decision since President Tinubu assumed office, following the Iseni, Ubeta, and HI FIDs.

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 revenues and expand economic opportunity for Nigerians.

President Tinubu said: “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. Our responsibility has been to create the conditions that turn 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.”

Since assuming office, President Tinubu has prioritised reforms to reverse years of underinvestment in Nigeria’s oil and gas industry.

Although the Petroleum Industry Act of 2021 laid an important foundation, several undeveloped projects lacked the fiscal and commercial conditions needed to become viable.

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 sought to improve fiscal competitiveness, shorten contracting timelines and reduce costs.

Special Adviser to the President on Energy, Ms Olu Arowolo Verheijen, said, “The story of Ima is ultimately the story of what our reforms are designed to achieve. 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.

“A gas discovery made in 1973 can only contribute to prosperity when somebody invests the capital to develop it, banks finance it, contractors build it, Nigerians work on it, and the gas is ultimately put to productive use. That is the transition we are seeing 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 interest in the asset, illustrating the increasing capacity of indigenous companies to participate in and lead increasingly significant developments in Nigeria’s upstream sector.

Nigerian financial institutions have arranged 77 per cent of the project’s financing, with around 60 per cent of the project 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, yet significant volumes have remained undeveloped.

The Tinubu administration’s gas strategy therefore focuses not simply on producing more gas, but on putting that gas to work: supporting LNG exports and foreign exchange earnings, providing feedstock for industry, enabling fertiliser and petrochemical production, supporting a more reliable power supply, and creating new opportunities for Nigerian businesses and workers.

“Natural resources have value only when they are converted into opportunities for our people,” President Tinubu said. “Our goal is to ensure that Nigeria’s gas powers Nigerian prosperity.”

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