President Bola Tinubu has said his administration will use Nigeria’s oil and gas resources to support the development of a broader and more diversified economy rather than rely on petroleum revenue as the country’s main economic driver.
Tinubu made the declaration on Tuesday in Abuja during activities marking the fifth anniversary of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
The President, who was represented at the event by Vice President Kashim Shettima, said Nigeria had already reduced its dependence on oil revenue and would continue to pursue policies aimed at strengthening agriculture, manufacturing, digital and creative industries.
He said the petroleum sector remained important to the country because of its capacity to provide energy, foreign exchange and revenue, but stressed that its resources should be used to stimulate growth across other sectors.
According to Tinubu, the government intends to develop an economy in which oil and gas support industrial production, job creation, investment and infrastructure development.
The President also described gas as a major component of Nigeria’s future energy strategy, declaring the coming period as the “decade of gas.”
He said the government would expand gas supply for electricity generation, industrial activities and clean cooking while working to reduce gas flaring and methane emissions.
Tinubu added that Nigeria would pursue an energy transition that takes into account the country’s development needs and energy access challenges.
The President also highlighted developments in Nigeria’s upstream petroleum sector, saying stronger cooperation among security agencies, oil producers, host communities and the NUPRC had helped stabilise production.
He said the improvement had contributed to renewed investor interest in Nigeria’s oil and gas industry.
The President stated that Nigeria had emerged as Africa’s leading destination for upstream investment for two consecutive years, while reforms in the sector had attracted significant investment commitments.
NUPRC Chief Executive Officer, Gbenga Komolafe, also highlighted the commission’s activities over the past five years, while officials said recent bid rounds and regulatory reforms had contributed to increased investment in the sector.
According to the report, five years of bid rounds have generated projected investment spending of about $103 billion, while the implementation of the Petroleum Industry Act (PIA) was credited with improving investment activity in the upstream sector.
Minister of State for Petroleum Resources, Oil, Heineken Lokpobiri, said Nigeria currently produces about 1.7 million barrels of crude oil per day and has more than 37 billion barrels of oil reserves.
He called for additional investment, further licensing rounds and increased exploration to unlock the country’s petroleum resources.
Tinubu, however, said the government would expect operators benefiting from incentives to fulfil their obligations regarding work programmes, local content, environmental protection and host communities.
He also charged the NUPRC to maintain clear regulatory procedures, provide reliable timelines and work with other government agencies to reduce overlapping requirements that could discourage investors.
The President acknowledged that the Petroleum Industry Act had provided an important foundation for reforms in the petroleum industry but said legislation alone could not guarantee investment.
He noted that investors had raised concerns about high operating costs, lengthy contracting processes and uncertainty around fiscal terms for complex projects.
Tinubu urged the upstream regulator to remain independent, transparent and accountable while ensuring that Nigeria’s petroleum resources generate wider economic benefits.
The fifth anniversary event brought together government officials, legislators, oil industry stakeholders and other participants who reviewed the NUPRC’s performance since its establishment under the PIA.
The development comes as the Federal Government continues to pursue increased oil and gas production while simultaneously promoting diversification to reduce the country’s dependence on crude oil revenue.
