Tinubu Hails $800m Investment in Ima Gas Development

By Adedapo Adesanya

President Bola 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 350 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.

According to the presidential spokesman, Bayo Onanuga, in a release, the Ima gas project marks the fourth major gas project to reach Final Investment Decision since the President 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

“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,” President Tinubu said in the statement.

“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 added.

Although the Petroleum Industry Act of 2021 laid an important foundation, several undeveloped projects lacked the fiscal and commercial conditions needed to become viable. Since assuming office, the President has pushed some reforms to reverse years of underinvestment in Nigeria’s oil and gas industry.

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 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.”