In a significant boost to Nigeria's domestic energy capacity, Heirs Energies, the indigenous oil and gas company founded by billionaire Tony Elumelu, has announced a major milestone. The firm has successfully doubled its crude oil production within its first five years of operation, a move set to enhance the nation's energy security.
Five-Year Review Shows Dramatic Growth Across Operations
The company's performance review reveals a remarkable journey. Heirs Energies increased its crude oil production from below 25,000 barrels per day (bpd) to more than 50,000 bpd. This growth was achieved not by drilling new wells but through a strategic focus on rehabilitating existing infrastructure. The company reactivated approximately 100 dormant oil wells from its inherited assets, applying a proprietary brownfield optimisation approach.
Heirs Energies acquired a 45% stake in Oil Mining Lease (OML) 17 on January 15, 2021, in a deal worth $1 billion. It then assumed operatorship ahead of schedule on July 1, 2021. Demonstrating operational excellence, the company has maintained over 85% uptime on pumps that are more than 65 years old.
Expansion in Gas and Power Generation
The company's impact extends beyond liquid hydrocarbons. Over the same five-year period, Heirs Energies reported a substantial rise in gas production. Output jumped from less than 50 million standard cubic feet per day (MMSCF/d) to over 120 MMSCF/d.
Critically for the domestic economy, the supply of this gas to the local Nigerian market expanded from about 30 MMSCF/d to more than 100 MMSCF/d. This increased gas supply directly supported a surge in electricity generation, which rose from under 100 megawatts (MW) to above 325 MW.
Commenting on these achievements, Chairman Tony Elumelu framed the success as a testament to Africapitalism. He described it as a model where African-owned businesses generate profit while simultaneously delivering profound social and national value. Elumelu emphasized that the company was built on the conviction that African expertise and capital can manage strategic energy assets efficiently and drive sustainable development.
Strategic Moves and Future Ambitions
Beyond production metrics, Heirs Energies highlighted its role in combating industry challenges. The company helped drive a coordinated national response to crude oil theft, contributing to a dramatic improvement in terminal delivery levels. These levels rose from a low of 3% in December 2021 to above 95% from 2025 onward.
The firm also solidified its financial standing, citing a strong repayment history with lenders. This credibility culminated in a $750 million refinancing deal with Afreximbank. In a major strategic investment at the close of 2025, Heirs Energies acquired a 20% equity stake in Seplat Energy Limited, making it the company's largest single shareholder.
Looking ahead, Tony Elumelu has hinted at even grander ambitions. At a recent industry forum, he revealed long-term goals that include building a refinery in Nigeria. Furthermore, he stated that his company, which acquired OML 17 from Shell, has a vision to ramp up daily oil production to 100,000 barrels per day, up from the current 53,000 barrels.
The progress of Heirs Energies stands as a notable case study in indigenous capacity within Nigeria's critical energy sector, showcasing how targeted investment and operational expertise can directly contribute to national energy security and economic growth.
