Nigeria’s National Petroleum Company Limited (NNPC) is preparing to develop new oil fields from next year as part of an ambitious plan to raise at least $30 billion by the end of the decade, senior officials familiar with the matter have disclosed.
The move by Africa’s largest oil producer represents a significant shift in strategy aimed at reversing years of chronic underinvestment that have left several discoveries undeveloped across the country’s prolific oil basins.
According to sources who spoke to Bloomberg, NNPC expects to take significant investment decisions through 2026, though the specific fields being targeted have not been disclosed. The officials, who requested anonymity because the discussions involve confidential commercial matters, indicated that the company is likely to meet more than half of its fundraising target.
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The state energy firm plans to develop some fields independently while inviting bids for others, with the tender process expected to commence early next year. This dual approach suggests NNPC is seeking to balance direct control over strategic assets with attracting much-needed private sector capital and technical expertise.
As part of the portfolio optimization, NNPC is reviewing its asset base and plans to divest non-performing fields, potentially freeing up resources for more viable projects.
The initiative comes as Nigeria struggles to maintain its position as Africa’s top oil producer, with output consistently falling short of OPEC quotas due to aging infrastructure, security challenges, and inadequate investment in exploration and development.
NNPC has set ambitious production targets, aiming for a 5 percent increase to 1.8 million barrels per day in 2026 compared with 2025 levels. The longer-term goal is more aggressive: reaching 4 million barrels of daily output by 2030, which would effectively double current production levels.
Beyond crude oil, the company is also prioritising gas infrastructure development. NNPC targets completion of the $2.8 billion Ajaokuta-Kaduna-Kano pipeline from early next year, with various segments being connected to the main line.
Once operational, the pipeline will deliver gas at scale to northern Nigeria, including the federal capital Abuja, supplying industrial parks, fertilizer plants and power generation facilities. This could prove transformative for a region that has historically lacked adequate energy infrastructure.
An NNPC spokesperson declined to comment on the development plans when contacted.
The fundraising challenge facing NNPC is substantial, particularly given Nigeria’s difficult operating environment and the global energy transition pushing investors away from fossil fuels. However, the company’s renewed focus on developing stranded assets could attract partners seeking production opportunities in a proven petroleum province.
Analysts suggest the success of NNPC’s plans will depend on addressing security concerns in the Niger Delta, improving the regulatory environment, and demonstrating credible project economics to potential investors and lenders.
