Nigeria Records Rise in Gas Output Amid Boost to Industrialization

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Nigeria's gas production has surged to 7.63 billion standard cubic feet per day, with the government targeting long-term supply to support the nation's industrialization drive. This monumental increase, according to Mrs Olu Verheijen, Special Adviser to the President on Oil and Gas, is a result of targeted presidential directives which improved the environment for deep-water, non-associated gas and midstream infrastructure.

Mrs Olu Verheijen, Special Adviser to the President on Oil and Gas, made this disclosure at the Nigerian-British Chamber of Commerce Energy Day 2026. Verheijen, a seasoned professional, has served in various capacities within the oil and gas sector, bringing her expertise to bear on policies that drive growth and development in the industry.

The nation's proven reserves now stand at over 215 trillion cubic feet of gas. This is a significant achievement, considering the administration's goal of repositioning gas as a foundation for industrialisation. According to Verheijen, the administration does not see gas as merely a transition fuel but a development fuel, central to power, fertiliser, petrochemicals, clean cooking, CNG transport, LNG exports and manufacturing.

The increase in gas production is also attributed to the repurposing of over four billion dollars in international oil company divestments, which were refocused on deep-water and integrated gas. This strategic shift has resulted in Nigeria's share of African upstream final investment decisions rising from about four per cent in 2023 to roughly forty per cent across 2024 and 2025.

A total of 10 billion dollars has been committed with a visible pipeline of some 500 billion dollars ahead. Stalled projects, including Bonga North, Ubeta and HI gas developments, are now moving ahead. Verheijen noted that the development has also triggered new non-associated gas developments that anchor long-term supply to Nigeria's LNG exports.

And according to Verheijen, when Nigeria improves the rules of the game, capital returns to the field. The administration's efforts to drive growth and development in the oil and gas sector have borne fruit, with investors taking notice.

The administration's push to reposition gas as a foundation for industrialisation is a welcome development. As Verheijen noted, Nigeria's growth is not just about owning resources, but about converting them into value. And with this surge in gas production, the country is taking strides towards achieving this goal.

But beyond the numbers, the administration's efforts are also driving growth in other sectors. The Presidential Power Sector Debt Reduction Programme, for instance, has enabled the government to address the challenge of the cost of doing business in the power sector.

The programme, which was built to address the challenges directly, has resulted in the Federal Executive Council approving a bond programme of up to N4 trillion to settle verified generation and gas-company arrears. Under this programme, generation companies have signed full and final settlement agreements worth about N2.28 trillion.

The N501 billion Series 1 bond was issued and oversubscribed, with payments to generation and gas companies now underway. A second series of N729 billion will follow to complete the first phase.

And at the heart of the administration's efforts is the recognition that gas is a development fuel, not just a transition fuel. According to Verheijen, the administration sees gas as a central component of Nigeria's growth strategy, driving power, fertiliser, petrochemicals, clean cooking, CNG transport, LNG exports and manufacturing.

The President Bola Tinubu administration's commitment to repositioning gas as a foundation for industrialisation is paying off. With a surge in gas production, investors are taking notice, and Nigeria is poised to reap the benefits of its oil and gas sector.