President Bola Ahmed Tinubu approved fiscal incentives to boost the Bonga Southwest Aparo deepwater project.
The presidential nod will pave for the Final Investment Decision on the Bonga Southwest Aparo field, a project expected to attract about twenty billion dollars in foreign direct investment and significantly expand Nigeria’s deepwater oil production capacity.
The development followed months of technical and commercial negotiations involving NNPC Limited, the Nigeria Revenue Service, the President’s Special Adviser on Energy, Olu Verheijen, and the Chief Executive Officer of Shell plc, Wael Sawan.
In a statement, the Group Chief Executive Officer of NNPC Limited, Bashir Bayo Ojulari, described the approval as a major breakthrough for Nigeria’s oil and gas sector, noting that the project had remained stalled for nearly two decades.
According to him, the presidential decision reflects policy clarity and the administration’s commitment to attracting large-scale energy investments into the country.
He stated that the approval demonstrates the government’s resolve to unlock Nigeria’s vast energy resources through partnerships and disciplined execution, adding that the project represents a key milestone in repositioning the country as a leading destination for deepwater oil investments.
The Bonga Southwest Aparo development will be the first Final Investment Decision on a deepwater Production Sharing Contract asset in Nigeria since two thousand and eight.
Industry analysts believe the move could restore investor confidence in Nigeria’s offshore oil sector.
Under the fiscal framework approved by the President, the project will benefit from an enhanced production tax credit and the resolution of issues arising from a dispute settlement agreement reached in two thousand and twenty-one.
The offshore project, which will be operated by Shell Nigeria Exploration and Production Company in partnership with other international oil companies, is expected to generate significant economic benefits for the country.
According to NNPC Limited, the development is projected to create more than five thousand direct and indirect jobs while producing about one hundred and fifty thousand barrels of crude oil per day alongside substantial gas output once completed.
