Nigeria’s gross gas production has increased to 7.63 billion standard cubic feet per day (bscf/d), up from approximately 6.83 billion standard cubic feet per day recorded in 2023, according to the Presidency.
The disclosure was made by Olu Verheijen during the Nigerian-British Chamber of Commerce Energy Day 2026 held in Lagos.
She also revealed that Nigeria’s proven gas reserves have now surpassed 215 trillion cubic feet, reinforcing the country’s position as one of Africa’s leading gas-producing nations.
Reforms Driving Growth in the Gas Sector
According to Verheijen, the increase in production is the result of targeted reforms and presidential directives aimed at improving the business environment for deep-water projects, non-associated gas developments, and midstream infrastructure investments.
She explained that more than $4 billion in international oil company divestments have been redirected towards deep-water and integrated gas projects.
The administration’s efforts to reduce the cost and complexity of doing business have also contributed significantly to renewed investor confidence.
Major Investments Return to Nigeria
Verheijen noted that project contracting timelines, which previously took up to 36 months, have been reduced to about 14 months, with a long-term target of six months.
As a result, Nigeria’s share of African upstream Final Investment Decisions (FIDs) reportedly increased from about four percent in 2023 to nearly 40 percent across 2024 and 2025.
She disclosed that approximately $10 billion has already been committed to the sector, with a projected investment pipeline estimated at $500 billion.
Several previously stalled projects, including the Bonga North, Ubeta, and HI gas developments, are now progressing, alongside new non-associated gas projects designed to strengthen long-term LNG export capacity.
Gas Positioned as a Tool for Industrialisation
The Presidency emphasized that gas is no longer viewed solely as a transition fuel but as a strategic driver of industrial and economic growth.
Verheijen stated that the government’s objective is to ensure that Nigerian gas powers local industries, supports manufacturing, boosts fertiliser production, expands petrochemical operations, strengthens clean cooking initiatives, promotes compressed natural gas (CNG) transportation, and increases export earnings.
She stressed that true economic value comes from converting natural resources into products, jobs, and industrial opportunities.
Government Moves to Strengthen Gas-to-Power Value Chain
The Federal Government is also working to restore financial stability within the gas-to-power sector.
According to Verheijen, years of accumulated debts, tariff distortions, and weak payment structures had hindered growth in the power sector.
To address these challenges, the Federal Executive Council approved a bond programme valued at up to ₦4 trillion under the Presidential Power Sector Debt Reduction Programme.
She revealed that power generation companies have already signed settlement agreements worth approximately ₦2.28 trillion, while a ₦501 billion first-series bond has been issued and oversubscribed.
A second bond tranche valued at ₦729 billion is expected to follow as part of efforts to improve liquidity and encourage fresh investments in the sector.
Outlook for Nigeria’s Energy Future
The Presidency believes the ongoing reforms are creating a stronger foundation for long-term growth in Nigeria’s energy industry.
With increasing gas production, renewed investor confidence, expanding reserves, and significant investments in power and infrastructure, the government says the sector is positioned to play a major role in driving economic development, industrialisation, job creation, and export growth in the coming years.