Nigeria and other countries across the world would spend about $811 billion on 615 upcoming oil and gas fields in the next eight years, a research conducted by data and analytics firm, Global data has revealed. The money, specifically, would be expended on capital items, especially conventional oil, heavy oil, oil sands, and unconventional oil projects, the report said. Nigeria, Mozambique, Australia, Canada, Norway, Indonesia, and UK, together have a total of $298 billion, averaging about 37 per cent of the total spending on the projects globally.
Federal government had earlier said the country would increase investments in the oil and gas sector to add over $100 billion in the next five years. Minister of State for Petroleum Resources, Ibe Kachikwu, had said that recent investments in the sector was about $40billion, but stated at a forum recently that the country would be able to boost investment in the nation’s oil and gas sector to record $100 billion in the next five years. “The investment will be targeted at gas, gas infrastructure, replacement of existing dilapidated pipelines, which will be carried out by private sector investments,” he added.
Collectively, the oil and gas industry across the world would spend $352 billion on conventional oil, heavy oil is expected to stand at $44 billion, while oil sands takes about $43.4 billion, and unconventional oil takes $30 billion over the eight-year period. The report noted that conventional gas projects would cost about $363.2 billion, while the investments into coal bed methane and unconventional gas projects would cost a total of $3.7 billion and upstream expenditure was expected at $1.6 billion. Brazil alone accounts for $76.7 billion, an average of 9.5 per cent of total spending, while the projects include 49 announced and planned fields.