3 hours ago
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•Harps on increased investment in oil, gas
From Adanna Nnamani, Abuja
Tony Elumelu, Chairman of Transcorp Power, has decried the company’s inability to maximize power generation due to gas supply constraints, despite having the highest energy capacity in Nigeria.
Elumelu said there was an urgent need to increase gas production to support Nigeria’s power sector, adding that improving the country’s energy security is crucial for economic growth and industrialization.
The business mogul, who is also the Founder of Heirs-Energies, a leading oil and gas company in Nigeria, called for increased investments in the sector.
Speaking at the Leadership Forum 2025 in Abuja on Thursday, Elumelu further elaborated on his transition from banking to energy investment, noting that Heirs-Energies, founded five years ago, now produces over 53,000 barrels of oil per day.
He explained that the forum, which was graced by top industry players and government officials, was aimed at developing strategies to increase Nigeria’s oil production to 2.7 million barrels per day.
Elumelu said: “You know, under the previous administration, we dropped less than 1 million barrels. We are happy that under the current administration, in general, we produce 1.8 million barrels of oil a day. But we are not satisfied with that figure.
“We want to take it to over 2 million. Because we know that we need oil money to diversify Nigeria away from oil. And we need to have the money to help develop our country. We need to have massive investment in oil and gas to help us power our industries. Access to electricity is still low in our country. I also speak as the chairman of TRANSCORP group.
“TRANSCORP is the leading power generating company in Nigeria. We have the highest energy capacity in the country, 2,000 megawatts. But we are constrained by gas to produce a lot more power than we have the capacity and ability to produce.
So, by investing in power, in oil and gas, by bringing us as far together, we hope that collectively all of us can increase gas production in Nigeria as we increase oil production. So that gas can help industries to produce and help the power generating companies like TRANSCORP power to increase power generation in the country so that people can have access to electricity, so that children can go to school, come back home and do homework, so that hospitals can function very well, and so that our companies can operate very well.”
When asked about plans to venture into refining, Elumelu stated that Heirs-Energies would eventually integrate into the sector but is currently focused on increasing crude oil production.
“For us, we will integrate ultimately.
But we wanted to start with oil production first. When you have oil, which is the raw material, then to go into fertilizer, into chemicals, into a refinery is not as difficult. But what is more important is to have that raw material, which I’m happy that we have today.” he said.
Elumelu expressed confidence in Nigeria’s ability to meet and surpass its production targets, citing improved security in oil-producing regions and recent executive orders by the federal government as key enablers.
He said: “I am very optimistic that with the incentives by the President Tinubu’s administration, with the executive orders he has signed, indeed, a lot has changed in the Nigerian oil and gas sector in the past 12 months. So we must give credit to the government for that.
“And I think that it is possible to at least go above 2 million barrels of oil per day, which is the record for Nigeria.”
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