Brazilians may head to Nigeria as Petrobras eyes a return

AMP
Aug 26
2 min read

The possible comeback of Petrobras to Nigeria marks more than just the return of a company; it signals the potential movement of Brazilian talent, technology, and investment into one of Africa’s most promising energy hubs.

Here are ten points that explain why this matters for the oil and gas market:

1. A return after five years

Petrobras left Nigeria in 2018, focusing on domestic priorities. Now, Nigerian President Bola Tinubu has invited the company to return, opening a new chapter.

2. Strategic location: the Niger Delta

Petrobras first entered Nigeria in 1998, working in the deepwater Niger Delta, one of the most resource-rich offshore basins in the world.

3. Reforms in Nigeria’s sector

Tinubu highlighted that regulatory and operational reforms have improved production conditions, reducing bottlenecks that once discouraged foreign companies.

4. Natural gas leadership

Nigeria boasts Africa’s largest natural gas reserves, making it attractive for Petrobras, whose global strategy increasingly prioritizes gas as a transition fuel.

5. Bilateral political support

Brazil’s President Luiz Inácio Lula da Silva openly supported the initiative, ensuring Petrobras has diplomatic backing to accelerate negotiations, according to Reuters.

6. Partnerships with majors

Petrobras is reportedly in talks with ExxonMobil, Shell, and TotalEnergies, which already operate in Nigeria, to share risks and infrastructure.

7. Economic diplomacy in motion

The Petrobras discussions were part of a larger package of agreements between Nigeria and Brazil covering trade, energy, aviation, and technology, cementing stronger bilateral ties.

8. Mobility of Brazilian professionals

If Petrobras returns, it is likely to deploy Brazilian engineers, geologists, and offshore specialists to Nigeria, creating opportunities for skilled migration.

9. Broader trade connections

Beyond oil, the two nations are reinforcing commercial bridges: direct flights between São Paulo and Lagos and cooperation with aircraft maker Embraer are signs of deeper integration.

10. Market impact ahead

The scale of Petrobras’ investment is still unclear, but even a modest presence could influence Nigeria’s output, global LNG markets, and create new shipping demand for crude and gas flows.

**Brazilians may head to Nigeria as Petrobras eyes a return**

Nigeria’s oil and gas fields: are they active?

Nigeria remains a global player in hydrocarbons, though its production has faced challenges in recent years.

Oil: Nigeria has proven reserves of around 37 billion barrels, with active fields in the Niger Delta and offshore deepwater. Majors like Shell, ExxonMobil, Chevron, and TotalEnergies continue to operate there.
Gas: The country holds over 210 trillion cubic feet of proven natural gas, the largest in Africa. Projects like Nigeria LNG (NLNG) on Bonny Island are operational and expanding.
Current status: Nigeria is producing less than its OPEC quota due to infrastructure issues and theft, but reforms are gradually stabilizing output. Deepwater projects, where Petrobras has experience, are central to Nigeria’s comeback strategy. Production stood at about 1.7 million barrels per day in mid-2025 with goals to increase to 2 million barrels per day.