Despite possessing one of Africa's largest hydrocarbon reserves, the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has cautioned that Nigeria can no longer depend solely on its vast oil and gas resources to attract global investors. The warning was issued during the recently concluded 5th PENGASSAN Energy and Labour Summit held in Abuja from August 19 to 21, 2026.

Nigeria is reported to have 37.01 billion barrels of proven oil and condensate reserves, alongside 215.19 trillion cubic feet of natural gas reserves. While these figures position the country as one of the most resource-rich in Africa, PENGASSAN emphasized that the competitive landscape for global investment capital is shifting. The union underscored the need for Nigeria to offer competitive fiscal and commercial terms, enhance security measures, and ensure regulatory predictability to attract long-term investments.

The summit, themed "Strengthening Regulatory Frameworks as a Catalyst for Stability and Growth in Nigeria’s Oil and Gas Industry," brought together a diverse group of stakeholders, including government officials, oil companies, and organized labor. A communiqué issued at the end of the summit highlighted the critical relationship between regulatory certainty and investment, production, and sustainable employment.

PENGASSAN's communiqué pointed out that Nigeria's current investment climate is hampered by regulatory uncertainties, policy changes, and security challenges. While the Petroleum Industry Act (PIA), enacted in 2021, was seen as a significant step forward, stakeholders continue to express concerns about its implementation and the overall investment environment.

The union called for the Federal Government and petroleum regulators to build on recent reforms that have sparked renewed interest in the sector. PENGASSAN urged the government to ensure that recent executive orders aimed at improving investment conditions are presented to the National Assembly as an executive bill to amend the PIA. This move is seen as essential to provide greater stability and certainty for investors.

In addition to regulatory reforms, PENGASSAN stressed the importance of rehabilitating and expanding critical energy infrastructure and addressing security issues that increase investment risks. The union advocates for a smarter regulatory approach that leverages digitalization, clear timelines, and faster approval processes to facilitate responsible investment.

Moreover, PENGASSAN highlighted the urgent need for Nigeria to convert its substantial gas reserves into economic value. The country’s proven gas reserves remain underutilized due to inadequate infrastructure and pricing challenges. The union called for an integrated strategy to enhance gas supply, processing, and distribution, emphasizing its role in power generation, manufacturing, and domestic use.

On refining, PENGASSAN urged the government to adopt sustained policies that expand domestic processing capacity, thereby reducing the inefficiency of exporting crude oil while importing refined products. The union specifically mentioned the need to protect investments in local refineries, including the Dangote Refinery, to promote greater value addition.

In conclusion, PENGASSAN asserted that Nigeria's primary challenge is not a lack of resources or legislation but the failure to translate these advantages into viable projects and measurable outcomes. The union called for stronger collaboration among all stakeholders in the petroleum industry, emphasizing that the true measure of success will be the value generated from the nation’s hydrocarbon resources, rather than the quantity alone.