Nigeria Seeks Bank of America’s Financial Support to Oil and Gas Projects
By Naija Enquirer Staff
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has called for financial collaboration with the Bank of America to support indigenous oil and gas companies in executing key projects across the upstream sector.
In a statement issued by the Commission’s Head of Media and Strategic Communications, Eniola Akinkuotu, the Commission Chief Executive, Engr. Gbenga Komolafe, made the appeal during a meeting with Mr. Chuba Ezenwa, Managing Director and Head of Investment Banking for Sub-Saharan Africa at Bank of America, in Abuja on Tuesday.
Funding as a Critical Challenge
Komolafe identified inadequate funding as one of the major challenges facing indigenous operators in Nigeria’s oil and gas sector despite the nation’s vast hydrocarbon potential. He noted that unlocking financing opportunities would be key to sustaining production growth and attracting new investments.
He explained that the initiative aligns with the Petroleum Industry Act (PIA) 2021, particularly Section 6(h), which mandates the Commission to promote an enabling environment for investments in upstream petroleum operations and the development of Nigerian content within the industry.
Creating a Conducive Investment Environment
While acknowledging the recent improvement in crude oil output, Komolafe emphasized that access to capital remains a critical barrier for operators seeking to expand operations. He therefore urged the Bank of America to prioritise Nigeria’s upstream petroleum sector in its investment portfolio.
“Nigeria is richly endowed with hydrocarbons, and we are committed to optimising production. However, funding is critical to our success. We are therefore exploring areas of alignment with the Bank of America,” Komolafe stated.
Bank of America Commends NUPRC Reforms
Responding, Mr. Chuba Ezenwa commended the NUPRC Chief Executive for the Commission’s reform efforts and improved regulatory performance, which he said have helped reignite investor confidence in Nigeria’s oil and gas sector.
“I am encouraged by the reforms driven by the Commission Chief Executive and the positive results in oil production, which have reignited investor interest in Nigeria’s upstream sector. The Bank of America will continue to explore opportunities to provide support,” Ezenwa said.
The engagement between NUPRC and the Bank of America marks a significant step in fostering global partnerships aimed at boosting investment flows, enhancing project financing, and driving sustainable growth across Nigeria’s upstream oil and gas industry.
