President Bola Tinubu recently witnessed the signing of two significant Memoranda of Understanding (MoUs) aimed at bolstering Nigeria’s global partnerships and advancing the country’s energy sector.
The first MoU involves the supply of gas from Nigeria to Germany, while the second entails a substantial $500 million investment in renewable energy projects within Nigeria.
These groundbreaking agreements were inked at the 10th German-Nigerian Business Forum held in Berlin.
Riverside LNG of Nigeria and Johannes Schuetze Energy Import AG of Germany are the key signatories for the gas export partnership.
The CEO of GasInvest, Mr. David Ige, who represented Riverside LNG, revealed that the project aims to supply energy from Nigeria to Germany, thereby addressing the issue of flared gas in Nigeria.
The project is expected to supply 850,000 tonnes per annum initially, expanding to 1.2 million tonnes per annum.
The first gas shipments to Germany are slated for 2026, marking a crucial step in reducing gas flaring in Nigeria by approximately 50 million cubic feet per day.
The German partners, represented by the Chief Operating Officer of Johannes Schuetze Energy Import AG, Mr. Frank Otto, expressed confidence in investing in Nigeria’s gas sector, considering it a significant development for the German market.
In another pivotal move, Union Bank of Nigeria and DWS Group signed a cooperative MoU on renewable energy projects.
Chairman of Union Bank, Mr. Farouk Gumel, declared a commitment of $500 million for e-energy projects in Nigeria.
Emphasising the importance of rural inclusion and economic formalisation, Gumel stated that the investment aimed to bring more people into the formal economy.
President Tinubu, addressing German businesses, assured them that Nigeria’s stable political landscape ensures the security of foreign investments.
He highlighted the resilience and flexibility of Nigeria’s democracy since 1999, with peaceful transfers of power, and encouraged investors to look beyond past challenges.
Tinubu also showcased his administration’s achievements, including economic reforms and governance expertise.
He emphasised his commitment to sustaining reforms and fostering stronger Nigerian-German relations.
The President assured investors that his team is dedicated to addressing challenges and creating a conducive environment for investment.
President Tinubu took pride in his administration’s swift actions, such as removing the fuel subsidy upon taking office, eliminating the arbitrage regime, and creating a reliable team to address concerns.
He urged investors to focus on building a relationship that promotes progress and prosperity in Nigerian-German relations.
Source: PUNCH