Assessment of Firm Value of Oil and Gas Sector in Nigeria: Ideology of Research and Development (R&D) Cost and Environmental Investment
Abstract
The study investigated the influence of Research and Development (R&D) and environmental investment on the firm value of oil and gas companies in Nigeria. Utilizing an ex-post facto design and drawing data from annual reports of 6 listed oil and gas firms on the NGX, the research investigates three specific areas: the effect of R&D costs, environmental remediation costs, and waste management costs on firm value. The findings reveal that while R&D costs do not significantly affect firm value in Nigeria's oil and gas sector, environmental remediation and waste management costs exhibit a significant positive effect on firm value. The study revealed the importance of environmental investment for oil and gas companies in Nigeria. Recommendations stemming from the findings emphasize the need for companies to prioritize and augment investments in environmental initiatives, integrate environmental considerations into strategic planning processes, actively engage stakeholders to ensure transparency and accountability in environmental management practices, and continue investing in research and innovation despite the observed non-significant impact on firm value
Keywords
References
More Articles from WORLD JOURNAL OF FINANCE AND INVESTMENT RESEARCH
Author: Ngonadi Uchechi, Michael Ominyi, Cyril Chimelie Anichukwueze, Ngozi Samuel, Uzougbo.
Author: Sadat Ibn Adam and Adamu Idris
Author: Aliba Ijeoma Vivian, Ikwuagwu Henry Chinedu, PhD, Maduagwuna Veronica Ifeyinwa, PhD
Author: Dr. John Okey Onoh AND Gbalam Peter Eze (Ph.D)
Author: Department of Accountancy Imo State Polytechnic, Umuagwo Nigeria
