TotalEnergies, AMNI seal $600m FID for Ima gas project

…Project to deliver 350mcf/d, generate $4bn over lifespan

By Obas Esiedesa, Abuja

ABUJA — TotalEnergies EP Nigeria Limited and AMNI International Petroleum Development Company Limited have signed the Final Investment Decision, FID, for the $600 million Ima Gas Development Project, which is expected to deliver 350 million standard cubic feet of gas daily to support Nigeria LNG.

The FID, signed on Wednesday in Abuja, marks a major step towards developing the offshore Ima gas field, with first gas expected by the end of 2028.

AMNI holds a 60 per cent interest in the project, while TotalEnergies holds 40 per cent and is the operator.

Located offshore Nigeria in water depths of about 8–10 metres, the Ima field will be connected to the existing Bonny Non-Associated Gas Plant on Bonny Island through an 18-inch, 23-kilometre multiphase pipeline.

At plateau, the project is expected to produce an average 350 million standard cubic feet of dry gas daily, equivalent to more than 60,000 barrels of oil equivalent per day.

The output is expected to meet approximately one-third of the gas supply requirement of Nigeria LNG’s Train 7 and generate about $4 billion in value for Nigeria over the project’s lifespan.

Speaking at the signing ceremony, Managing Director of TotalEnergies EP Nigeria, Mathieu Bouyer, described the investment as a vote of confidence in Nigeria and its oil and gas industry.

Bouyer said the project was the outcome of more than two decades of partnership between TotalEnergies and AMNI, adding that its development was facilitated by improvements in Nigeria’s investment environment and recent government reforms.

He disclosed that seven banks — Zenith Bank, Access Bank, United Bank for Africa, GTBank, Standard Bank, Standard Chartered Bank and First Abu Dhabi Bank — were providing financing for the project, with more than 75 per cent coming from Nigerian banks.

Bouyer said the project would also deepen local content, with all four major project packages to be handled by Nigerian contractors.

He added that more than 60 per cent of the work carried out locally would involve workers from communities around the project.

According to him, the development was designed to minimise operational emissions through an unmanned offshore platform powered from shore, zero routine flaring and permanent methane monitoring equipment.

Chairman of AMNI, Tunde Afolabi, described the FID as more than an investment approval, saying it demonstrated confidence in Nigeria and the partnership between the two companies.

Afolabi recalled that he and TotalEnergies Chairman, Patrick Pouyanne, signed the Heads of Terms for the project in Houston in May 2024.

He said the project demonstrated that Nigerian indigenous companies could partner with leading international energy companies to develop the country’s petroleum resources.

He stressed that indigenous participation should increasingly be measured by technical capability, financial discipline, good governance and the capacity to execute major projects.

Afolabi said the focus would now shift to executing the project safely, responsibly and efficiently, while ensuring meaningful participation by Nigerian businesses, professionals and host communities.

Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, described the FID as a major milestone for Nigeria’s gas sector, saying the project would increase gas supply to Nigeria LNG and strengthen the country’s position in the global gas and LNG market.

Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, attributed renewed investment interest in the sector to reforms by the Federal Government, particularly measures aimed at providing greater fiscal and regulatory certainty.

Lokpobiri urged Nigerian banks to remain confident in financing oil and gas projects, saying hydrocarbons would remain an important component of the global energy mix for decades.

He also called on industry players to reduce the time required to move projects from conception to FID.

Representing the Group Chief Executive Officer of NNPC Limited, Bayo Ojulari, the company’s Executive Vice President, Upstream, Udobong Ntia, congratulated TotalEnergies and AMNI on reaching the milestone.

Ntia said the FID was only the beginning of the project and assured that NNPC would work with the partners towards achieving first gas.

The Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission, Oritsemeyiwa Eyesan, said her engagement with the Ima project dated back more than a decade.

She said the project’s progression to FID reflected the impact of recent reforms and Executive Orders, assuring investors that the regulator would continue to remove regulatory obstacles and create an enabling business environment.

Special Adviser to the President on Energy, Olu Verheijen, said the project was significant not only for its gas production potential but also for its potential to convert Nigeria’s gas resources into investment, productive capacity and economic growth.

She noted that the Ima field was discovered in 1973 but remained undeveloped for decades, saying the development demonstrated that natural resources alone did not create prosperity.

Verheijen said the government’s reforms were aimed at creating conditions for capital, technology and enterprise to unlock stranded resources, generate jobs and expand industrial activity.

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