President Bola Ahmed Tinubu has approved the gazetting of targeted investment incentives to support the proposed Bonga South West deep-offshore oil project by Shell and its partners. According to a statement by Special Adviser to the President, Sunday Dare, the incentives are designed to attract new capital without undermining government revenues.
The President has directed his Special Adviser on Energy, Olu Verheijen, to facilitate the gazette of the incentives in line with Nigeria’s existing legal and fiscal frameworks. Receiving the Shell delegation led by its Global Chief Executive Officer, Wael Sawan, President Tinubu emphasized that the incentives are disciplined, targeted, and globally competitive.
The Bonga South West project is strategic to Nigeria’s economy, with the potential to create thousands of direct and indirect jobs, generate significant foreign-exchange inflows, and deliver sustained government revenues over the life of the project. The President expects the project to reach a Final Investment Decision within the first term of his administration.
The project will also deepen Nigerian participation in offshore engineering, fabrication, logistics, and energy services. President Tinubu reaffirmed his administration’s commitment to policy stability, regulatory certainty, and speed, noting that these reforms are critical to restoring investor confidence and positioning Nigeria as a preferred destination for large-scale energy investment.
Shell and its partners have invested nearly $7 billion in Nigeria in the past 13 months, particularly in Bonga North and HI. The company’s Global Chief Executive Officer, Wael Sawan, noted that Nigeria’s investment climate has improved remarkably under the Tinubu administration, and Shell is increasingly confident in Nigeria as a destination for long-term investment.
The approval of the incentives and the potential investment in the Bonga South West project are significant developments for Nigeria’s energy sector and economy. The project’s success will depend on the government’s ability to maintain a stable and supportive business environment, as well as the company’s commitment to delivering on its investment promises. With the right conditions in place, the project has the potential to drive economic growth, create jobs, and increase government revenues.
