Tinubu Approves Framework to Unlock $50bn Deep Offshore Investment

President Bola Tinubu has approved a reform that replaces project-by-project negotiations with a transparent investment framework designed to unlock up to $50 billion in deep offshore investment.

In a statement on Tuesday, Bayo Onanuga, presidential spokesperson, said the reform is expected to restart Nigeria’s large, capital-intensive offshore developments that have remained stalled for decades.

Onanuga said the approval also enables the Nigerian National Petroleum Company (NNPC) Limited, the government’s nominated counterparty under the production sharing contracts (PSCs), to proceed with the necessary amendments to eligible PSCs required to implement the framework.

“President Bola Ahmed Tinubu, GCFR, has approved a landmark reform that replaces project-by-project negotiations with a transparent investment framework designed to unlock up to US$50 billion in deep offshore investment and restart Nigeria’s large, capital-intensive offshore developments that have remained stalled for decades,” the statement reads.

“The reform establishes a transparent, rules-based investment framework capable of supporting the next generation of deep offshore developments, beginning with the approximately US$10 billion Bonga South West project, while strengthening Nigeria’s competitiveness for globally mobile investment capital.”

According to the statement, the decision builds on Tinubu’s engagement with Wael Sawan, chief executive officer of Shell Plc, during which the president directed the development of the next wave of measures required to unlock Nigeria’s deep offshore investment pipeline.

Rather than pursuing project-specific solutions, Onanuga said the federal government transformed that directive “into a comprehensive investment framework applicable across multiple categories of qualifying developments”.

“Given effect through the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, the framework replaces project-by-project negotiations with transparent eligibility criteria, clear implementation processes and a durable investment architecture that provides greater certainty for investors while safeguarding long-term national value,” the spokesperson said.

“The approval also enables NNPC Limited, as the government’s nominated counterparty under the Production Sharing Contracts, to proceed with the necessary amendments to eligible Production Sharing Contracts required to implement the framework.”

‘FRAMEWORK WILL INCREASE INVESTMENT, CREATE JOBS’

Olu Verheijen, the president’s special adviser on oil and gas, said a defining feature of the reform is its emphasis on Nigerian industrial capability.

“Projects qualifying under the framework will maximise execution within Nigeria wherever commercially and technically feasible, strengthening domestic engineering, fabrication, marine logistics, technical services and project management,” she said.

“The objective is not only to increase investment and production, but also to create skilled jobs, deepen local supply chains and position Nigeria as Africa’s regional hub for deep offshore project execution.”

Tinubu commended the ministry of justice, the ministry of finance, the ministry of petroleum resources, the Nigeria Revenue Service (NRS), NNPC, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), the Nigerian Content Development and Monitoring Board (NCDMB), investing partners and other industry stakeholders whose collaboration, technical expertise and commitment helped shape the framework.

The president said countries that attract long-term investment are not necessarily those with the greatest natural resources but those that provide the greatest certainty.

“This reform reflects our determination to build an investment environment defined by clear rules, strong institutions and enduring partnerships,” he said.

Tinubu said the country is creating the conditions for capital to flow, for Nigerian businesses to grow, “for our people to prosper and for our natural resources to deliver lasting national value”.