Italian energy giant Eni has announced the sanctioning of four major upstream oil and gas projects across Angola and Congo-Brazzaville in 2025, underscoring the continent’s growing significance in global energy markets.
The projects are expected to boost the company’s production to an average of 1.7 million barrels of oil equivalent per day (boepd) in 2025, reinforcing its position as a major player in the global energy market.
Eni’s Expansion Strategy
The five projects are geographically split, with two in Angola, two in Norway, and one in Congo-Brazzaville. Francesco Gattei, Eni’s Chief Transition and Financial Officer, emphasised the company’s growth strategy during a recent earnings call with analysts.
“Growth is an important feature in our plan. We are creating value, leveraging our competitive strength in the upstream,” Gattei stated.
The decision to focus on Angola, Norway, and Congo-Brazzaville highlights Eni’s strategic shift towards regions with stable fiscal policies and lower operational risks. Angola, in particular, has seen renewed interest from major oil companies following regulatory reforms aimed at attracting foreign investment.
Nigeria’s Missed Opportunity?
While Eni ramps up production elsewhere, Nigeria—home to vast oil and gas reserves—continues to grapple with regulatory uncertainty, security challenges, and underinvestment in its upstream sector. Despite being a key hub for Eni’s operations, Nigeria did not make the list for new project sanctions this year.
Industry experts say this reflects broader concerns about Nigeria’s business environment.
Eni operates several key assets in Nigeria, including the Agip Oil Company and major stakes in joint ventures with the Nigerian National Petroleum Company (NNPC). However, the lack of new project sanctions suggests the company prioritises more stable jurisdictions for now.
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Nigeria’s position in Africa’s Upstream Sector
While Eni’s new projects are noteworthy, Nigeria continues to lead Africa’s upstream oil and gas sector. According to research from Wood Mackenzie, Nigeria accounted for three out of four Final Investment Decisions (FIDs) announced by global oil and gas majors in 2024, totaling $13.5 billion. These investments include Shell’s $122 million Iseni Gas Project and TotalEnergies’ $566 million Ubeta Gas Project. The Nigerian government’s proactive policies, such as tax incentives and streamlined contracting processes, have played a pivotal role in attracting these investments.
Can Nigeria Attract More Investment?
The Nigerian government has repeatedly pledged to improve the investment climate, but progress has been slow. The PIA, signed into law in 2021, was expected to revitalise the sector by providing clearer fiscal terms and incentives. However, bureaucratic delays and lingering disputes over host community funding have dampened investor enthusiasm.
“Nigeria must act fast to regain its competitive edge,” said an energy lawyer at Bloomfield Law Firm. “Countries like Angola and Mozambique are aggressively courting investors with attractive terms, while Nigeria is still struggling with legacy issues.”
Analysts suggest that Nigeria could still benefit from Eni’s long-term plans if the government accelerates reforms. The company has previously expressed interest in expanding its gas operations in Nigeria, particularly in support of the Decade of Gas initiative aimed at boosting domestic utilisation and exports.
Looking Ahead
For now, Eni’s 2025 project lineup underscores a cautious approach, favouring regions with lower political and operational risks. Nigeria, despite its vast potential, remains a challenging environment for major upstream investments.
As the global energy landscape evolves, the question remains: Will Nigeria take the necessary steps to attract the level of investment seen in Angola and other competing markets, or will it continue to watch from the sidelines as international players shift their focus elsewhere?
For the Nigerian oil and gas sector, 2025 could be a pivotal year—not because of new projects, but because of the urgent reforms needed to secure them.
