President Bola Ahmed Tinubu has approved a set of investment-linked incentives to accelerate the development of Shell’s Bonga Southwest deep-offshore oil project and similar ventures, in a bid to stimulate job creation, foreign exchange earnings and longer-term government revenue.
The incentives, which are scheduled for gazetting, were endorsed during a meeting between the President and Wael Sawan, Group Chief Executive Officer of Shell plc, alongside other senior officials of the energy company.+Full Details
According to a statement from the Presidential Villa, the approved measures are designed to be disciplined, targeted and competitive on the global stage, without undermining government earnings.
President Tinubu directed his Special Adviser on Energy, Mrs. Olu Verheijen, to work with relevant agencies to ensure that the incentive framework aligns fully with Nigeria’s legal and fiscal architecture.
“The aim is to accelerate the delivery of deep-offshore projects and position Nigeria as a destination of choice for large-scale energy investments,” the President said.
He emphasised that the incentives would help unlock thousands of direct and indirect jobs, broaden foreign exchange inflows and deepen local participation in critical sectors such as offshore engineering, fabrication, logistics and energy services.
Highlighting Nigeria’s emerging attractiveness to international investors, President Tinubu noted that Shell has invested nearly $7 billion in Nigeria over the past 13 months, including in the Bonga North and High Island (HI) projects.
Shell’s Group CEO, Wael Sawan, expressed appreciation for the improving investment climate in Nigeria under President Tinubu’s administration, describing the renewed engagement as a vote of confidence in the country’s long-term potential.
“The collaborative efforts between government and industry are key to unlocking the full value of Nigeria’s energy resources,” Mr. Sawan said.
Analysts say the move could significantly boost Nigeria’s fiscal outlook, particularly as the country seeks to diversify earnings beyond oil sales and improve its foreign exchange position.+See more details
The Bonga Southwest project, located off Nigeria’s Atlantic coast, has been anticipated as a major contributor to output and earnings if supported by stable policy and fiscal incentives.
𝗙𝗼𝗹𝗹𝗼𝘄 𝗢𝘂𝗿 𝗪𝗵𝗮𝘁𝘀𝗔𝗽𝗽 𝗖𝗵𝗮𝗻𝗻𝗲𝗹 𝗧𝗼 𝗚𝗲𝘁 𝗟𝗮𝘁𝗲𝘀𝘁 𝗡𝗲𝘄𝘀 𝗔𝘀 𝗜𝘁'𝘀 𝗗𝗿𝗼𝗽!
