The Federal Ministry of Petroleum Resources stated on Thursday that Nigeria and Saudi Arabia had signed a Memorandum of Understanding on information sharing, and technology transfer in the oil sector.
Senator Heineken Lokpobiri, Minister of State for Petroleum Resources (Oil), signed on behalf of the Federal Government, while Saudi Arabia’s Energy Minister, Prince Abdulaziz bin Salman, signed on behalf of his country. Nigeria stands to benefit considerably from this knowledge transfer, given Saudi Arabia’s advanced technologies in oil and gas exploration and production.
“The exchange of technical expertise is poised to elevate the efficiency and effectiveness of Nigeria’s energy operations, ultimately contributing to increased production levels and global competitiveness,” Nneamaka Okafor, the minister’s media adviser, said in a statement.
It went on to say that the MoU would bring significant Foreign Direct Investment into Nigeria’s oil and gas sector. “This influx of capital will not only bolster the petroleum industry but also have a cascading effect on various sectors of the economy, contributing to Nigeria’s overall economic prosperity,” the ministry of oil and gas said.
It stated that the MoU’s cooperative structure expanded beyond technological collaboration and financial investments. The MoU also underlined a commitment to environmental sustainability and prudent resource management, according to the statement.
“Both countries have agreed to collaborate on adopting and implementing best practices in environmental conservation, ensuring that oil and gas activities are environmentally friendly.”
“This reflects a shared vision for a greener and more sustainable energy industry, aligning with global efforts to address climate change and promote cleaner energy alternatives,” the Federal Energy Regulatory Commission said.
Saudi investment minister Khalid Al-Falih claimed the kingdom’s $700 billion wealth fund, known as the public investment fund, would make “game-changing” investments in Africa. The agreement was announced just hours after President Bola Tinubu arrived in Riyadh, Saudi Arabia, to attend the Saudi-Africa conference.
According to Ajuri Ngelale, the presidential spokeswoman, President Tinubu arrived in the Middle Eastern country on Thursday as part of attempts to attract foreign direct investment and mobilize resources to create essential infrastructure.