Nigeria is currently holding discussions with oil companies and banks in order to raise funds for new drilling as well as pay back about $4 billion in arrears that the Nigerian National Petroleum Corporation (NNPC) has amassed for years of mishandling.

The Minister of State for Petroleum, Emmanuel Kachikwu said that he wants to boost production to 2.5 million bpd at end of the year as it currently produces 2.3 million bpd.

The country’s oil and gas production has been on stand still as significant offshore projects have been hindered by delay in government funding as well as doubts over financial terms.

NNPC held discussions with oil majors including Eni, Vitol and Gunvor, in order to seek for collaborations to renew assets like refineries that has been abandoned for decades. In 2015, the state oil company recorded a loss of $1.3 billion.

“My ideal would be to bring in third party capital, do a joint investment and management of the refineries and work out a pay-out process over 5 to 6 years basically on lifting of some portion of the finished products,” Kachikwu told CNBC Africa, adding that the government plans to announce concessions for pipelines and depots in March.

Anita Fatunji