ExxonMobil to Invest $1.5 Billion in Nigerian Deepwater Oilfield to Boost Production
Abuja, May 7, 2025 – ExxonMobil has announced plans to invest $1.5 billion in the development and revitalization of its deepwater oil operations in Nigeria, focusing primarily on the Usan deepwater oilfield. The investment, scheduled between the second quarter of 2025 and 2027, underscores the company’s long-term commitment to Nigeria’s oil and gas sector and supports the country’s goal to increase crude oil production.
The announcement was made during a courtesy visit by ExxonMobil’s Managing Director in Nigeria, Mr. Shane Harris, to Engr. Gbenga Komolafe, Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). The proposed Final Investment Decision (FID) for the Usan project is expected in late Q3 2025, pending final approval of the Field Development Plan (FDP) and internal and partner funding clearances.
“This significant financial commitment reflects ExxonMobil’s confidence in Nigeria’s upstream potential and its dedication to playing a pivotal role in the sector’s growth,” Harris said.
Strategic Focus and Broader Plans
The $1.5 billion investment will primarily target the Usan oilfield, located offshore in the eastern Niger Delta on block OML 138, about 70 kilometers from the coast. Discovered in 2002 and producing since 2012, Usan currently operates 34 subsea wells linked to eight manifolds. The planned development aims to revitalize production and extend the field’s operational life.
In addition to Usan, ExxonMobil intends to accelerate development activities at other key deepwater assets, including the Owowo and Erha fields, as part of a broader strategy to strengthen its operational footprint in Nigeria.
Supporting Nigeria’s Production Goals
The investment aligns with the NUPRC’s “Project 1 Million Barrels” initiative, which targets increasing Nigeria’s crude oil production to 2.4 million barrels per day in the medium term. The NUPRC welcomed ExxonMobil’s commitment, emphasizing its role in boosting national output and investor confidence.
Engr. Gbenga Komolafe stated, “We are pleased to support ExxonMobil’s plans, which are vital to Nigeria’s ambition to revitalize its oil production and attract further investments.”
Outlook
ExxonMobil’s planned capital deployment comes amid speculation about the company’s future in Nigeria, decisively signaling a strategic expansion rather than withdrawal. The move is expected to create jobs, enhance local content, and contribute significantly to Nigeria’s economy and energy security.
