Tinubu approves incentives to unlock major oil investment
President Bola Tinubu has approved a fiscal incentive package to advance the long-delayed Bonga Southwest Aparo deepwater project. This move is expected to attract about $20bn in foreign direct investment into Nigeria’s oil and gas sector. The project, operated by Shell Nigeria Exploration and Production Company and a consortium of international partners, has been stalled for nearly two decades. The approval is seen as a significant step toward restoring investor confidence and reviving deepwater exploration in Nigeria.
TLDR
- Bola Tinubu approved incentives aimed at enabling the Bonga Southwest Aparo project, potentially unlocking $20bn in investment.
- The project is operated by Shell Nigeria Exploration and Production Company with several international partners and the Nigerian National Petroleum Company Limited.
- The approval followed months of negotiations among key stakeholders, including the National Revenue Service and Shell’s leadership.
- The fiscal framework includes enhanced production tax credits and resolves a previous dispute settlement agreement to improve investment conditions.
- The project is expected to boost Nigeria’s oil and gas output, create over 5,000 jobs, and signal renewed investor interest in the sector.
