Chevron urges stronger oil sector regulation to attract investment

Chevron Nigeria Limited has called for stronger regulatory certainty and transparency in Nigeria’s oil and gas industry, saying a predictable business environment is critical to attracting investment and unlocking the sector’s growth potential.

Chairman and Managing Director of Chevron companies in Nigeria and the Mid-Africa Region, Jim Swartz, made the call at the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) Energy and Labour Summit in Abuja on Wednesday.

Swartz, who was represented by Chevron Nigeria and Mid-Africa Region’s Director of Operations and Chief Operating Officer, Segun Kuteyi, said Nigeria’s abundant oil and gas reserves, strategic location and skilled workforce could position the country for sustained growth and competitiveness in the global energy market.

He, however, said natural resources alone were insufficient to guarantee growth without an enabling investment environment.

“A predictable, transparent, and efficient regulatory framework builds confidence; and confidence attracts investment, drives innovation, creates jobs, and supports economic growth,” Swartz said.

According to him, regulatory certainty has become a key driver of investor commitments, adding that reforms introduced following the Petroleum Industry Act (PIA) 2021 have continued to create opportunities for Chevron’s operations in Nigeria.

He identified exploration and new discoveries, infill drilling and brownfield optimisation, as well as monetisation and integrated developments as key areas driving the company’s growth.

Swartz said Chevron had renewed and converted some of its joint venture and deepwater leases while continuing investments in exploration, asset development, gas projects and monetisation.

He also highlighted Chevron’s recent acquisition of Deepwater Block PPL 2010 and the company’s equity investments in projects announced by Shell on Bonga Southwest/Aparo and ExxonMobil on Owowo/Usan.

The Chevron executive said the company had also sustained its social investments and partnerships with host communities over more than six decades.

He urged stakeholders to address challenges in the oil and gas sector by strengthening regulatory certainty, improving transparency and accountability, and encouraging investment across the industry’s value chain.

Swartz also called for greater collaboration among industry stakeholders, alongside increased adoption of innovation and digital technology and the development of a skilled workforce capable of meeting the sector’s future demands.

“At Chevron, we believe people are our greatest asset. No regulatory framework can fully succeed without a capable, motivated, and protected workforce,” he said.

He described platforms such as PEALS as important because they bring government, labour and industry stakeholders together to develop shared priorities and improve understanding of the challenges facing the sector.

The summit brought together stakeholders from government, organised labour and the oil and gas industry to deliberate on issues affecting Nigeria’s energy sector and workforce.