Tinubu Applauds Shell, Partners on $5 Billion Bonga North Investment
President Bola Ahmed Tinubu has hailed the Final Investment Decision (FID) by Shell and its partners for the $5 billion Bonga North Deep Offshore Field, marking Nigeria’s first deepwater oil development in over a decade.
Announced in a statement by the President’s Adviser on Information and Strategy, Bayo Onanuga, the project underscores the transformative impact of the Tinubu administration’s policies in revitalizing Nigeria’s oil and gas sector.
Located 130 kilometers offshore within Oil Mining Lease (OML) 118, the Bonga North oilfield is expected to produce approximately 350 million barrels of crude oil. Shell holds a 55% operational interest, with partners including the Nigerian National Petroleum Corporation (NNPC), ExxonMobil, TotalEnergies, and Eni.
Transformative Reforms Driving Investment
President Tinubu lauded the development as a testament to his administration’s commitment to creating a robust investment climate.
“The Renewed Hope Agenda fundamentally focuses on attracting investments to transform the Nigerian economy and deliver prosperity to our people. Shell and its partners’ decision to invest in Bonga North affirms the success of our efforts. We will continue to offer the necessary support to ensure their success and the realization of Nigeria’s energy potential,” Tinubu stated.
Strategic engagements with global energy stakeholders have been pivotal to attracting these investments. In July 2023, during a high-level meeting with Shell’s leadership, President Tinubu emphasized Nigeria’s commitment to fostering a stable and investor-friendly environment. This was further bolstered by Presidential Directives issued in early 2024, which fast-tracked regulatory approvals, reduced operational costs, and introduced competitive fiscal incentives.
Advancing Nigeria’s Energy Future
The Bonga North project follows the Ubeta oilfield (OML 58), the first initiative under President Tinubu’s blueprint for energy sector transformation. Achieving FID earlier this year, the Ubeta project, dormant since its 1965 discovery, is set to produce 350 million standard cubic feet of gas daily, bolstering Nigeria’s domestic energy supply and export capacity.
Special Adviser to the President on Energy, Ms. Olu Verheijen, described the Bonga North FID as a signal of renewed confidence in Nigeria’s energy sector.
“The Bonga North FID dispels misconceptions about International Oil Companies leaving Nigeria. Instead, it demonstrates a strategic pivot of IOCs towards deepwater and integrated gas projects aligned with President Tinubu’s vision of transforming Nigeria into a global energy hub,” Verheijen said.
She added, “These projects will catalyze broader investments, revolutionizing power generation, transportation, and manufacturing in Nigeria. As we approach 2025, we anticipate further FIDs, marking a new era of growth and opportunity.”
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Commitment to Economic Growth and Innovation
The Tinubu administration reiterated its dedication to positioning Nigeria as a global leader in energy innovation. By fostering public-private partnerships and implementing reforms, the government aims to ensure that the benefits of these investments translate into tangible progress for Nigerians.
The Bonga North project, alongside other landmark initiatives, reflects the administration’s commitment to energy security, economic growth, and sustainable development.
