Tinubu approves framework to unlock $50bn deep offshore investment

President Bola Tinubu has approved a new investment framework aimed at unlocking up to $50 billion in deep offshore oil and gas investments and reviving major projects that have remained stalled for years.

Bayo Onanuga, Special Adviser to the President on Information and Strategy, disclosed this in a statement issued on Tuesday.

The framework replaces project-by-project negotiations with transparent eligibility criteria and clear implementation processes, the Special Adviser to the President on Information and Strategy, Bayo Onanuga, said in a statement on Tuesday.

The reform, implemented through the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, is expected to support the next generation of deep offshore developments, beginning with the approximately $10 billion Bonga South West project.

The framework also allows NNPC Limited, the government’s nominated counterparty under the Production Sharing Contracts, to amend eligible contracts to give effect to the new incentives.

Olu Arowolo-Verheijen, the President’s Special Adviser on Oil and Gas, said the reform would also strengthen Nigeria’s local industrial capacity.

“Projects qualifying under the framework will maximise execution within Nigeria wherever commercially and technically feasible, strengthening domestic engineering, fabrication, marine logistics, technical services and project management,” she said.

Verheijen said the initiative was designed not only to increase investment and oil production but also to create skilled jobs, strengthen local supply chains and position Nigeria as a regional hub for deep offshore project execution.

The reform followed President Tinubu’s engagement with Shell Chief Executive Officer, Wael Sawan, during which the president directed the development of measures to unlock Nigeria’s deep offshore investment pipeline.