LOW-RISK ENERGY SECTOR KEY TO ATTRACTING INVESTMENTS TO NIGERIA – NLNG
Read Time:1 Minute, 53 Second
By Aishat Momoh. O.
Nigeria LNG Limited (NLNG) has reiterated that creating a well-structured, low-risk environment in Nigeria’s energy sector is critical to attracting investments, accelerating economic growth, and strengthening national energy security.
Speaking at a panel session titled “De-Risking Investments in African Oil and Gas Projects” during the Sub-Saharan Africa International Petroleum Exhibition and Conference (SAIPEC) in Lagos, NLNG’s General Manager, Production, Mr. Nnamdi Anowi, stressed that high-risk perceptions in oil and gas projects often discourage investors, leading to stalled developments, job losses, and missed revenue opportunities.
Anowi described risk reduction in the oil and gas sector as not merely a business strategy but a national economic imperative.
“When oil and gas projects are perceived as too risky, investors withdraw. This results in stalled projects, job losses, and lost revenue that are vital for national growth,” he said.
He explained that for NLNG, lowering risk translates to ensuring reliable gas supply, fulfilling long-term contractual obligations, and maintaining its reputation as a trusted supplier in both global and domestic markets.
“When our projects are well planned and well managed, investors have confidence, operations are stable, and NLNG can continue contributing to Nigeria’s economy,” he added.
According to Anowi, de-risking begins with clear and consistent government policies, respect for contractual agreements, and thorough project preparation before capital deployment. He noted that such measures make it easier for financial institutions and investors to provide funding at lower costs, ultimately benefiting both operators and the broader economy.
He further highlighted the role of critical infrastructure, skilled local manpower, and modern technology in reducing operational risks. Functional pipelines, efficient processing facilities, and reliable digital systems, he said, enhance safety, lower operating costs, and ensure long-term sustainability of projects.
“If we reduce risk the right way and work together, investment will come. The next decade must focus on growing proven, bankable projects that deliver real value to the country,” Anowi stated.
In his closing remarks, he maintained that Africa and Nigeria in particular remains an investable destination when risks are properly identified, planned for, and effectively managed rather than ignored.
NLNG’s participation at SAIPEC underscores its commitment to fostering investor confidence and promoting sustainable growth in Nigeria’s energy sector.
Happy
0 %
Sad
0 %
Excited
0 %
Sleepy
0 %
Angry
0 %
Surprise
0 %
0
0