CEO of Shell praises Tinubu as the energy company plans A $20 billion investment in Nigeria
Shell Plc announces that Nigeria’s enhanced investment environment under Tinubu has sparked intentions for a $20bn energy investment.
Mr. Wael Sawan, the Chief Executive Officer of Shell Plc, has commended President Bola Tinubu for his bold and visionary leadership, which has fostered a stable and appealing investment environment in Nigeria.
During a meeting with the President at the State House in Abuja, Sawan announced that Shell, alongside other investors, is ready to invest an additional $20 billion in energy projects in Nigeria, crediting this decision primarily to the renewed confidence brought about by the Tinubu administration.
He stated that Nigeria is currently one of the countries drawing considerable investments from international oil companies, thanks to enhanced policy clarity and economic stability.
Sawan emphasized Shell’s recent commitments, detailing a $5 billion investment in Bonga North, $2 billion in HI, and significant gas supply projects associated with Nigeria LNG Limited (NLNG), underscoring the company’s dedication to long-term operations in the country.
“We have truly found ourselves in a position where we are eager to invest in Nigeria, although this has not always been the situation,” Sawan stated. “Your leadership and vision have fostered an investment climate that has encouraged us to invest, particularly in comparison to other opportunities globally.”
He observed that stability currently holds significant value for multinational corporations looking to invest over extended periods.
“Our investments are not aimed at benefiting just one administration or even five or ten years.” He added, “We aim to invest for 20, 30, 40 years and, in the case of Nigeria, for many decades.”
Sawan further disclosed that Shell has raised its stake in Oil Mining Lease (OML) 118, commonly referred to as the Bonga Block, after the departure of TotalEnergies, characterizing this action as a component of a larger strategy to enhance the company’s presence in Nigeria.
He stated that Shell and its partners are progressing with plans for the Bonga South West project, which has the potential to draw approximately $20 billion in foreign direct investment if it attains Final Investment Decision (FID).
“This will be one of the largest energy projects globally,” Sawan stated, noting that additional opportunities like Bonga South are still being evaluated.
The Shell CEO characterized the renewed investment push as a “sea change,” highlighting that the company had previously reduced its investments in Nigeria but has now shifted its approach due to enhanced governance and policy incentives.
President Tinubu has approved the gazetting of specific, investment-linked incentives to bolster the Bonga South West deep offshore oil project. He instructed his Special Adviser on Energy, Mrs. Olu Arowolo-Verheijen, to oversee the process in accordance with the current legal and fiscal frameworks.
“These incentives are not universal concessions,” Tinubu stated. “They are protected, tied to investments, and aimed at generating new capital, increasing production, ensuring robust local content delivery, and enhancing in-country value.”
The President expressed his anticipation that the Bonga South West project will achieve Final Investment Decision during the first term of his administration.
