The Nigerian National Petroleum Company Limited has signed a Memorandum of Understanding with Algeria’s state-owned oil firm Sonatrach to deepen cooperation in research, development and innovation within the oil and gas sector.

The agreement was formalised through NNPC’s Research, Technology and Innovation Division in partnership with the Petroleum Technology Development Fund, according to a statement issued during the 3rd Meeting of the African Petroleum Producers’ Organisation (APPO) Forum for Research and Development Directors in Abuja.

It provides a structured framework for joint research activities and technology exchange between both national oil companies, with the aim of improving operational efficiency and innovation across the energy value chain.

The signing ceremony brought together senior industry stakeholders, including representatives of the Nigerian government and APPO member states, who emphasised the need for stronger collaboration amid global energy transition challenges.

The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, said the forum is part of APPO’s broader strategy to address funding, technology gaps and regional integration within Africa’s petroleum industry.

NNPC Group Chief Executive Officer Bashir Ojulari, represented at the event, stressed that research and development will be critical to the future competitiveness of Africa’s oil and gas sector, warning that failure to innovate could result in long-term stagnation.

Participants also highlighted the importance of digital transformation, including artificial intelligence and advanced engineering systems, to improve efficiency across upstream and downstream operations.

APPO Secretary General Farid Ghezali called for research outcomes that provide practical solutions tailored to Africa’s energy needs, while PTDF Executive Secretary Shuaibu Aliyu emphasised the importance of the partnership in advancing decarbonisation and sustainability goals.

The forum also outlined priority areas such as upstream optimisation, industrial systems development and the use of emerging technologies to strengthen Africa’s energy sector performance.