Minister of State for Petroleum Resources (Oil), Sen. Heineken Lokpobiri, says the reforms in Nigeria’s oil sector are attracting investors with the financial and technical capacity to develop the country’s petroleum assets.
Lokpobiri spoke in Yenagoa when the management of Highban Resources Limited visited him with its Chinese investment partners, Manshi Group and Richland SG Petroleum Company Limited Investmentd.
A statement by his SA Media and Communications, Nneamaka Okafor, quoted the minister as saying the quality of investors in the recent bid round reflects growing confidence in the transparency, accountability and clarity of the government’s processes.
“Part of the measures of the reforms we have carried out in the oil sector remains the accountability of our processes. The last bid round attracted investors with the capacity to develop, because of the clarity and credibility of the process,” Lokpobiri said.
He said the government would continue to discourage companies from acquiring licences merely to hold them without developing the assets.
“We want companies that are prepared to move into the field, deploy capital, create value and contribute to the growth of our oil and gas industry,” he added.
Highban And Chinese Partners
Highban Resources Limited was one of the successful companies in the recent bid round. Its managing director said the company and its Chinese partners were encouraged by the investment climate in Nigeria. He expressed their readiness to commence operations soon.
The statement did not disclose the value of the planned investment, the timeline for operations or the specific assets involved. It also did not name the Highban Resources managing director.
The minister’s remarks point to a push for licence holders to move from paperwork to field development. For Nigeria, the test will be whether the confidence translates into actual capital deployment, output growth and more dollars into the economy.
