Nigeria plans roadshow to attract oil companies back to onshore sector

Nigeria is organizing an oil and gas roadshow to attract international energy companies back to its onshore sector, a senior government official announced on Monday.

As Africa's leading oil exporter, Nigeria has faced challenges in boosting production following the departure of international oil companies such as Shell and Exxon from its onshore fields, which have shifted focus to deep offshore exploration.

The Nigerian government had hoped that domestic companies could counteract the production decline in the Niger Delta region.

Felix Omatsola Ogbe, head of a government board established to promote local workforce and Nigerian-made materials in the oil and gas sector, stated that he would discuss the planned roadshow with President Bola Tinubu’s energy adviser. The roadshow's timeline is yet to be determined.

"We plan to conduct roadshows in the countries where these companies originated to encourage those that have left to return," Ogbe mentioned at an oil and gas conference in Abuja, without providing specifics on how Nigeria plans to persuade these companies to reconsider.

In March, Shell announced its intention to divest from Nigeria's problematic onshore oil sector, following the footsteps of Exxon, Italy's Eni, Norway's Equinor, and China's Addax, which have all struck deals to sell their assets in the country in recent years.

Oil companies have long cited concerns over security issues in the Niger Delta, pipeline vandalism, crude oil theft, and recent legislative changes affecting fiscal terms in the sector as reasons for their exit.