NNPC Announces 4 Major Final Investment Decisions to Shape 2025

• Four major Final Investment Decisions (FIDs) are expected by the end of 2025, including key projects like the Brass Fertiliser Project and the Crude Oil Production Expansion Project
• These initiatives are part of NNPC’s strategy to diversify Nigeria’s energy portfolio and increase production efficiency, with a focus on gas monetisation and domestic fertiliser demand
• An April 2025 report also highlighted modest crude production numbers but strong gas output, along with infrastructure upgrades on essential pipelines, improving network reliability and attracting foreign investment

Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.

Four significant Final Investment Decisions (FIDs) are anticipated before the end of 2025, providing the Nigerian National Petroleum Company (NNPC) Limited with an opportunity to commit to substantial investments this year.

According to NNPC's first-ever report under Bayo Ojulari, GMD, titled "NNPC Monthly Report Summary for April 2025," the state-owned company intends to complete four FIDs by the end of 2025.

These include the long-awaited Brass Fertiliser Project, the Crude Oil Production Expansion Project (OML 29), the Ntokon Development (OML 102), and the Gas Development Projects (OMLs 30 and 42). All of these are slated for final approval in Q4 2025.

BusinessDay reported that these initiatives are part of NNPC's larger strategic plan to diversify Nigeria's energy portfolio, boost revenue, and improve production efficiency. Nigeria's growing domestic fertiliser demand is expected to be met by the Brass Fertiliser Project in particular, which will reduce imports and enhance agricultural output.

The decision by NNPC to approve these FIDs coincides with stable but modest production numbers. The monthly report also revealed that the output of crude oil and condensate was 1.61 million barrels per day in April, a slight decrease from 1.67 million barrels per day in January.

On the other hand, gas output reached its highest level of the year, 7,354 million standard cubic feet per day, which is indicative of Nigeria's increasing emphasis on gas monetisation.

According to industry analysts, the FIDs have the potential to boost Nigeria's balance of payments, generate thousands of jobs, and attract billions of dollars in foreign direct investment, provided they are carried out on time.

Business process reforms intended to streamline operations and attract joint venture partners were successfully implemented, according to the April report. Furthermore, with project completion levels at 95% and 70%, respectively, the report observed that infrastructure upgrades on key assets, such as the OB3 and AKK gas pipelines, are proceeding.

These pipelines are essential for delivering gas to residential and commercial customers, and their completion is considered critical to maximising the benefits of new gas FIDs.

A remarkable 97% of upstream pipelines were operational, indicating advances in network reliability, a crucial factor for foreign investors.

Marketers sign deal with foreign suppliers

Legit.ng reported that major petroleum product marketers in Nigeria have reportedly inked a deal with prominent global petrol suppliers to import cheaper products that will sell below Dangote and NNPC retail outlets.

According to reports, the deal will see the marketers selling petrol at about N700 per litre, far cheaper than what is obtained at NNPC and Dangote Refinery partner stations.

Legit.ng reported earlier that the Independent Petroleum Marketers Association of Nigeria (IPMAN), asked the Dangote Refinery to lower its petrol prices below N800 per litre.

Source: Legit.ng