Lokpobiri urges EPC deepwater firms to reinvest in Nigeria

By Obas Esiedesa, Abuja

Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, has called on major Engineering, Procurement, and Construction (EPC) companies to return to Nigeria, assuring them that past challenges have been addressed through sweeping reforms and investor-friendly policies.

Speaking at the EPC Deepwater Investment Roundtable organized by the Oil Producers Trade Section (OPTS) of the Lagos Chamber of Commerce and Industry, Lokpobiri said Nigeria is now ready for business.

“When we say Nigeria is open for business, we’re not making a statement of intent, we’re pointing to the reforms we’ve implemented, the policies we’re enacting, and the partnerships we’re building. The landscape has changed, and this can be confirmed directly from the IOCs, who are already seeing results,” he said in a statement by his media aide, Nneamaka Okafor.

Lokpobiri acknowledged that many EPC firms scaled down or exited Nigeria in the past due to regulatory ambiguity, contracting inefficiencies, security concerns, and fiscal uncertainty. However, he stressed that the Petroleum Industry Act (PIA) has resolved most of these issues by streamlining fiscal terms, strengthening regulatory clarity, and boosting project security in collaboration with the Nigerian Navy and other agencies.

“The EPCs will not return if there are no projects. And there can be no projects if operators are not investing,” the Minister emphasized, urging International Oil Companies (IOCs) and deepwater operators to continue making Final Investment Decisions (FIDs).

Under the PIA, the government has introduced globally competitive incentives for deepwater operations, including reduced royalty rates for offshore production, removal of cost recovery limits, tax credits for frontier exploration, investor protection mechanisms, and shorter contracting cycles to cut delays.

Lokpobiri added that these incentives would not be limited to IOCs but extended to EPC contractors whose expertise is vital to delivering large-scale projects.

“These giant EPC companies, who once left, are exactly the kind of players who can thrive in deepwater. The same way we have fine-tuned incentives for operators, we will ensure those benefits are extended to EPCs, because without the EPCs, these projects cannot be delivered,” he said.

Describing Nigeria’s deepwater basin as “a massive space of opportunity,” the Minister urged EPC firms to reassess the country’s oil and gas sector in light of the reforms already made and the untapped potential ahead.

“The Government is not just committed; we are deliberate. We are removing barriers, incentivising performance, and building lasting partnerships. But we need your expertise, your technology, your capacity. Let us do this together,” Lokpobiri concluded.

The post Lokpobiri urges EPC deepwater firms to reinvest in Nigeria appeared first on Vanguard News.