Shell Eyes $20 Billion Investment in Nigeria’s Energy Sector as Confidence Grows
Shell Plc has unveiled plans to inject an estimated $20 billion into Nigeria’s energy sector over the next few years, signalling a renewed vote of confidence in the country’s economic direction.
The disclosure was made by Bayo Ojulari, the Group Chief Executive Officer (GCEO) of the Nigerian National Petroleum Company (NNPC) Limited, following a high-level meeting at the State House on Thursday.
Ojulari spoke to journalists after a delegation from the energy giant, led by Shell’s Global CEO Wael Sawan, met with President Bola Tinubu in Abuja.
According to the NNPC boss, the massive capital commitment is largely driven by the administration’s demonstrated leadership and efforts to improve transparency within the sector.
The investment roadmap focuses heavily on deepwater expansion, specifically the long-awaited Bonga South West project.
Ojulari noted that Shell indicated its readiness to mobilize resources for these projects, emphasizing that global capital is highly competitive and Nigeria’s ability to attract such a significant sum is a testament to the current administration’s reforms.
During the meeting, President Tinubu reportedly approved the gazetting of investment-linked incentives designed to fast-track the Bonga South West deep-offshore project.
Ojulari highlighted the economic magnitude of the venture, revealing that the project carries an operating expense profile of approximately $10 billion and is expected to generate sustained employment opportunities for Nigerians over the next 25 to 30 years.
This new pledge follows a series of strategic moves by Shell’s Nigerian subsidiary, Shell Nigeria Exploration and Production Company Ltd (SNEPCo).
In May 2025, SNEPCo acquired TotalEnergies’ 12.5 percent interest in the OML 118 Production Sharing Contract for $510 million.
Later in October of the same year, the company announced a $2 billion Final Investment Decision (FID) on the HI offshore gas project.
Ojulari assured that the NNPC, as the concession holder for Production Sharing Contracts (PSCs), would continue to collaborate closely with international oil companies like Shell, Chevron, and ExxonMobil to create solutions that align with government objectives and unlock further value for the nation’s economy.
The commitment is seen as a major boost for Nigeria’s oil and gas industry as it seeks to ramp up production and secure long-term sustainability.
