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Nigeria approves deep offshore oil reform to attract $50bn investment
President Bola Tinubu has approved a new investment framework designed to unlock up to $50 billion in deep offshore oil and gas investments in Nigeria. The reform, implemented through the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, aims to revive large-scale offshore projects that have been stalled for decades.
The new system replaces the previous method of project-by-project negotiations with a transparent, rules-based structure. This change is intended to provide greater fiscal and regulatory certainty to international investors, enhancing Nigeria’s competitiveness for global capital. The framework is expected to support a new generation of capital-intensive developments, starting with Shell plc’s Bonga South West project, which is estimated to require approximately $10 billion.
A key component of the reform is the emphasis on local content and industrial capacity. Qualifying projects will be required to maximize execution within Nigeria whenever commercially and technically feasible, aiming to strengthen domestic engineering, fabrication, marine logistics, and technical services. The approval also authorizes NNPC Limited to amend existing Production Sharing Contracts (PSCs) to implement the new incentives.
Entities
Bola Ahmed Tinubu · Bola Tinubu · Bonga South West · Federal Ministry of Livestock Development · George Akume · NNPC Limited · Nigeria · Shell plc · Wael Sawan
Claims
What the coverage asserts, and how well corroborated each claim is across sources.
- [● 3 SOURCES] Qualifying projects must prioritize local execution within Nigeria to boost domestic industrial capacity. citybusinessnews.com · www.oedigital.com · nairametrics.com
- [● 8 SOURCES] The new investment framework aims to unlock up to $50 billion in deep offshore oil and gas investments. citybusinessnews.com · newsonlineng.com · championnews.com.ng · newmail-ng.com · nigeriancurrent.com · +3 more
- [● 8 SOURCES] The reform replaces project-by-project negotiations with a transparent, rules-based framework to provide investor certainty. citybusinessnews.com · newsonlineng.com · championnews.com.ng · newmail-ng.com · nigeriancurrent.com · +3 more
- [● 4 SOURCES] NNPC Limited is authorized to amend eligible Production Sharing Contracts to implement the framework. citybusinessnews.com · newmail-ng.com · nigeriancurrent.com · www.oedigital.com
- [● 8 SOURCES] The reform is implemented through the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026. citybusinessnews.com · newsonlineng.com · championnews.com.ng · newmail-ng.com · nigeriancurrent.com · +3 more
- [● 8 SOURCES] The Bonga South West project, valued at approximately $10 billion, is expected to be one of the first developments supported by the reform. citybusinessnews.com · newsonlineng.com · championnews.com.ng · newmail-ng.com · nigeriancurrent.com · +3 more