President Bola Tinubu says the final investment decision (FID) of Shell and its partners on the Bonga north deepwater project, which is worth $5 billion, demonstrates a milestone for Nigeria’s energy sector.
Earlier today, Shell announced an FID on the deepwater offshore project in Nigeria.
In a statement on Monday by Bayo Onanuga, presidential spokesperson, Tinubu welcomed the announcement of the FID on the deepwater offshore field.
Speaking on the development, Tinubu said the renewed hope agenda primarily focuses on attracting investments to transform the Nigerian economy and deliver prosperity to the people.
“We designed our policies and reforms from the start of my administration to achieve this goal. Shell and its partners’ decision to invest in Bonga North affirms the success of our efforts,” he said.
“We will continue to offer the necessary support to ensure their success and the realisation of Nigeria’s energy potential.”
On her part, Olu Verheijen, special adviser to the president on energy, said the Bonga north FID dispels the misconceptions surrounding the exit of international oil companies (IOCs).
“Instead, we are witnessing a strategic pivot of IOCs-powered capital and technical capacity to deepwater and integrated gas projects, which align with President Tinubu’s vision of transforming Nigeria into a global energy hub,” she said.
“The divestments from onshore operations create opportunities for local oil and gas companies to expand and thrive, building a strong foundation for Nigeria’s energy future.”
She added that the success of the Bonga north and Ubeta oilfield projects demonstrates the effectiveness of the reforms and directives championed by Tinubu.
“These projects will trigger broader investments to revolutionise Nigeria’s power generation, transportation, and manufacturing sectors,” she said.
“As we look ahead to 2025, we anticipate further FIDs from international and domestic players, marking a new era of growth and opportunity for Nigeria.”
According to the statement, the landmark development, Nigeria’s “first deepwater oil project in over a decade”, highlights the transformative impact of the president’s policies and reforms in attracting investments in the oil and gas sector.
“The Bonga North oilfield, located 130 kilometres offshore in Oil Mining Lease (OML) 118, represents an impressive estimated $5 billion investment and is expected to yield approximately 350 million barrels of crude oil,” the statement reads.
“The FID signals renewed confidence in Nigeria’s energy sector and demonstrates the effectiveness of the Tinubu administration’s strategic focus on engendering a robust and competitive investment climate.”
Earlier this year, the Ubeta oilfield achieved a FID through a partnership between TotalEnergies and Nigerian National Petroleum Company (NNPC) Limited, with the signing ceremony of the $550 million investment taking place in June.
With both blueprint projects now achieving FID, the statement noted the success of the initiatives shows the effectiveness of the president’s strategic vision for Nigeria’s energy future.
