NIPC Releases Q3 2019 Report Of Investment Announcements

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In furtherance to its mandate, the Nigerian Investment Promotion Commission (NIPC) presents the report on investment announcements for the Q3 of 2019. In the period, US$9.29 billion of announcements were tracked through the NIPC Intelligence Newsletters, which are issued 6 days a week.

The report showed that a total of 13 projects across 4 states and offshore Nigeria were announced by investors in 4 countries.

The major announcements were made by Aiteo Eastern Exploration and Production Company which plans to invest US$5 billion in crude exploration; Sterling Oil Exploration and Energy Production Company Limited (SEEPCO) in joint a venture project of US$3.15 billion with the Nigerian National Petroleum Corporation (NNPC) for the development of Oil Mining Lease (OML) 13; CMES-OMS Petroleum Development Company (CPDC) also in a joint venture project with NNPC to the tune of $875.75 million for the funding, provision of technical services and alternative financing for the development of OML 65; and Datasonic Group Berhard, a Malaysian Group investing in the information and communication infrastructure to the tune of US$100 million.

Announcements from Nigerian companies accounted for 98% by value, and these investments were mainly in the development of oil fields. This shows the growing capacity of Nigerian companies in the oil and gas sector of the economy.

In a similar vein, mining & quarrying sector accounted for 98%, while information and communications, finance & insurance, transportation & storage, real estate, human health & social services, manufacturing and agriculture collectively accounted for the balance of 2%. The major destination was the Niger-Delta region with 87%, while Lagos, Kaduna, Anambra and Ogun states accounted for less than 1%. The other destinations were not made public by the investors.

NIPC’s Intelligence Newsletter publishes Nigerian investment-related news culled from various sources. The Report is based only on investment announcements cited in NIPC’s Newsletters from July to September 2019; it may not contain exhaustive information on all investment announcements in Nigeria during the period. Nevertheless, the Report gives a sense of investors’ interest in the Nigerian economy.

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NIPC did not independently verify the authenticity of the investment announcements but is working on tracking the announcements as they progress to actual investments.