US Firm, Baker Hughes, Targets New Oil Fields In NIgeria

As Nigeria considers offering new oil fields to potential investors in a deliberate move to meet its OPEC quota, a global oil and gas conglomerate, Baker Hughes, has indicated interest to bid in the upcoming oil bid round.

It is also showing keen interest in the country’s thriving refining industry.

Baker Hughes company, based in Houston, United States, is one of the world’s largest oil field services companies operating in over 120 countries.

The Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, secured the company’s interest when he engaged the Chairman/President of Baker Hughes, Lorenzo Simonelli, at a meeting on the sidelines of the 28th United Nations Climate Change Conference in the United Arab Emirates.

The special adviser to the minister on Media and Communications, Nneamaka Okafor, said in a statement issued in Abuja that during the meeting, Baker Hughes “expressed keen interest in sustaining and enhancing their  investment in Nigeria’s oil and gas industry, including the readiness to invest in refineries.”

The oil firm’s boss conveyed his company’s commitment to contributing to the energy transformation agenda of the federal government.

Simonelli emphasised the company’s readiness to collaborate with the federal government in advancing sustainable energy practices, aligning with the goals of COP28.

“Nigeria is a blessed nation with vast potentials and great opportunities in diverse sectors. As a partner with the Federal Government over the years, we are inspired to direct investment in the refinery domain of oil and gas. Therefore, whatever we can do to support to get started, I am willing to do that even now,” he stated.

Simonelli acknowledged the pivotal role Nigeria plays in the global energy landscape and emphasised the importance of public-private partnerships in driving meaningful progress.

Responding, Lokpobiri said the move by Baker Hughes would further sustain Nigeria’s drive for increased oil and gas production as well as domestic refining of crude.

The minister highlighted the company’s contributions over the years and expressed optimism about deepening the collaboration through increased investment in the nation’s oil and gas industry.

He assured the Baker Hughes delegation of the federal government’s commitment to creating an enabling environment for investments in the refinery sector, as adequate measures would be put in place to facilitate the seamless actualisation of Baker Hughes’ investment plans.

“I am very happy that you have joined other companies in identifying the great opportunities and government’s favourable policies in our oil and gas sector and with the advent of the PIA (Petroleum Industry Act), we now have a workable framework that guarantees a conducive environment for investment,” Lokpobiri stated.

Nigeria’s three refineries in Port Harcourt, Warri and Kaduna have been out of operation for decades, though rehabilitation works are ongoing at the facilities currently, as Port Harcourt is expected to come on stream by the end of this month.