Tinubu Signs Order to Unlock $50 Billion in Deep Offshore Oil Investment

President Bola Tinubu has signed a new order aimed at unlocking up to $50 billion in investment in Nigeria’s deep offshore oil and gas sector, beginning with the proposed $10 billion Bonga South West project.

Tinubu announced the development Wednesday in a statement posted on X, saying the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, is designed to provide investors with clearer and more predictable terms for long-term projects.

The president said existing deep offshore leases will have until Dec. 31, 2029, to reach a final investment decision and qualify for the full standard incentive provided under the order.

“For many years, Nigeria has possessed some of the most promising deep offshore oil and gas resources in the world, yet several major developments have remained stalled,” Tinubu said.

He said the government could no longer afford to leave the country’s offshore resources undeveloped, arguing that attracting long-term capital requires policy certainty as countries compete globally for investment.

The order is the 10th major policy directive introduced by Tinubu’s administration specifically for the oil and gas sector, according to the president. He said the measures are intended to address constraints to investment, increase production and strengthen value creation within Nigeria.

Tinubu said the government’s objective extends beyond attracting foreign capital, with a focus on ensuring that more of the economic activity generated by major offshore projects takes place in Nigeria.

Under the new framework, projects accessing supplementary incentives will be required to carry out activities in Nigeria, subject to defined exceptions and Nigerian content requirements.

The president said the policy is intended to create more opportunities for Nigerian engineers, fabrication yards, marine and technical service companies and young people seeking skills and employment in the oil and gas industry.

He also said the government wants to position Nigeria as Africa’s regional hub for deep offshore project execution by developing the local expertise and industrial capacity needed to deliver major projects.

Tinubu said he had directed his administration to pursue a broader investment framework during his engagement with Shell CEO Wael Sawan rather than focus on the needs of a single company or project.

“That framework is now in place,” he said.

The president said the success of the policy would ultimately be measured by the creation of jobs, stronger Nigerian businesses, increased oil production, higher government revenues and new technical capabilities developed within the country.

“Our natural resources must work harder for our people,” Tinubu said, describing the new order as part of his administration’s broader effort to attract investment and retain more value from Nigeria’s oil and gas resources domestically.