New rules target stalled projects, starting with the $10bn Bonga South West development, while boosting local content.
President Bola Tinubu has approved a new investment framework designed to unlock up to $50 billion in deep offshore oil and gas investments and revive major projects that have remained stalled for decades.
The reform replaces project-by-project negotiations with a transparent, rules-based framework aimed at providing greater certainty for investors and strengthening Nigeria’s competitiveness for global investment capital.
According to a statement issued by the President’s media aide, Bayo Onanuga, the framework will begin with the approximately $10 billion Bonga South West project and apply to other qualifying deep offshore developments.
The policy is implemented through the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, which establishes clear eligibility criteria and implementation procedures for eligible projects.
The approval also authorises NNPC Limited, as the government’s nominated counterparty under the Production Sharing Contracts, to amend eligible contracts to give effect to the new framework.
President Tinubu had earlier directed the development of measures to unlock Nigeria’s deep offshore investment pipeline following his engagement with Shell Chief Executive Officer, Wael Sawan.
The President’s Special Adviser on Oil and Gas, Olu Arowolo-Verheijen, said the reform would also prioritise Nigerian participation in project execution where commercially and technically feasible.
She said qualifying projects were expected to strengthen domestic engineering, fabrication, marine logistics, technical services and project management while creating skilled jobs and expanding local supply chains.
“The objective is not only to increase investment and production, but also to create skilled jobs, deepen local supply chains and position Nigeria as Africa’s regional hub for deep offshore project execution,” she said.
Tinubu commended the Federal Ministry of Justice, Federal Ministry of Finance, Federal Ministry of Petroleum Resources, Nigeria Revenue Service, NNPC Limited, Nigerian Upstream Petroleum Regulatory Commission and Nigerian Content Development and Monitoring Board, as well as industry partners, for their contributions to the reform.
The President said countries that attract long-term investment were not necessarily those with the largest natural resources, but those capable of providing certainty for investors.
“This reform reflects our determination to build an investment environment defined by clear rules, strong institutions and enduring partnerships,” Tinubu said.
He added that the government was creating conditions for increased investment, stronger Nigerian businesses, job creation and greater long-term value from the country’s natural resources.