Tinubu approves new framework to attract $50bn deep offshore investment

President Bola Tinubu has approved a new investment framework expected to unlock up to 50 billion dollars in deep offshore oil and gas investments and revive stalled projects in the sector.

The reform replaces project-specific negotiations with a transparent and rules-based system aimed at providing greater certainty for investors and attracting long-term capital to Nigeria’s offshore industry.

This is contained in a statement issued by the Presidential Spokesperson, Mr Bayo Onanuga, on Tuesday in Abuja.

The Presidency said the framework would pave the way for a new generation of deep offshore projects, starting with the approximately 10 billion dollar Bonga South West development.

It added that the initiative would enhance Nigeria’s competitiveness in attracting globally mobile investment capital.

According to the statement, the approval followed Tinubu’s engagement with Shell plc Chief Executive Officer, Mr Wael Sawan, on measures to revive Nigeria’s deep offshore investment pipeline.

The Federal Government subsequently developed a comprehensive framework applicable to multiple qualifying projects, rather than relying on individual solutions for specific developments.

The framework was established through the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, which provides clear eligibility requirements and implementation procedures.

The Presidency said the framework would offer investors greater certainty while protecting Nigeria’s long-term economic interests.

The approval also authorises NNPC Ltd., the government’s nominated counterparty under Production Sharing Contracts, to undertake the necessary amendments to implement the new framework.

Tinubu commended the Ministries of Justice, Finance and Petroleum Resources, the Nigeria Revenue Service, NNPC Ltd. and other stakeholders for their contributions to the initiative.

He also acknowledged the roles played by the Nigerian Upstream Petroleum Regulatory Commission, the Nigerian Content Development and Monitoring Board and investing partners in developing the framework.

Tinubu said the reform was designed to create a more predictable investment environment capable of attracting long-term capital.

“The countries that attract long-term investment are not necessarily those with the greatest natural resources. They are the ones that provide the greatest certainty,” he said.

He added that the reform would create conditions for increased investment, business growth and greater national value from Nigeria’s natural resources.

Mrs Olu Verheijen, Special Adviser to the President on Energy, said the framework would also promote greater participation of Nigerian businesses in deep offshore projects.

She said qualifying projects would maximise execution within Nigeria where commercially and technically feasible.

According to her, the objective is to increase investment and production while creating skilled employment, strengthening local supply chains and positioning Nigeria as Africa’s regional hub for deep offshore project execution.