Tinubu Approves Deep Offshore Investment Framework to Unlock $50bn in New Investments

President Bola Ahmed Tinubu has approved a new investment framework aimed at unlocking up to $50 billion in fresh investment in Nigeria’s deep offshore oil and gas sector.

The Federal Government said the reform is designed to replace project-by-project negotiations with a transparent, rules-based framework that will provide greater certainty for investors and revive major offshore developments that have remained stalled for years.

The framework will initially support projects such as the approximately $10 billion Bonga South West development, while creating an investment structure that can be applied to other qualifying deep offshore projects.

The Presidency announced the development on Tuesday, saying the reform was part of the administration’s efforts to attract long-term capital into Nigeria’s oil and gas industry and strengthen the country’s competitiveness in the global energy market.

The reform is being implemented through the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026.

Under the new framework, eligible projects will be assessed against clearly defined criteria rather than being subjected to individual negotiations with the government.

The Presidency said the approach would provide investors with greater certainty while ensuring that Nigeria retains long-term value from its natural resources.

The approval also authorises NNPC Limited, as the government’s nominated counterparty under Production Sharing Contracts (PSCs), to make the necessary amendments to eligible contracts to implement the new incentives.

The approximately $10 billion Bonga South West project is expected to be among the first major developments to benefit from the framework.

The project is part of Nigeria’s deep offshore petroleum assets and has been viewed as a significant potential source of additional crude production and investment.

The new policy is intended to help revive capital-intensive offshore projects that have faced delays, while creating conditions for international energy companies to commit long-term funding to Nigeria.

Special Adviser to the President on Oil and Gas, Olu Arowolo-Verheijen, said the framework would place emphasis on strengthening Nigeria’s domestic industrial capacity.

She said qualifying projects would be expected to maximise execution within Nigeria where commercially and technically feasible.

This could increase opportunities for Nigerian engineering and fabrication companies, marine logistics operators, technical service providers and project management firms.

According to the Presidency, the policy is intended not only to increase oil and gas investment and production but also to create skilled employment, deepen local supply chains and position Nigeria as a regional centre for deep offshore project execution.

President Tinubu said countries that attract long-term investment are not necessarily those with the largest natural resources, but those capable of providing investors with certainty.

“The countries that attract long-term investment are not necessarily those with the greatest natural resources. They are the ones that provide the greatest certainty,” Tinubu said.

He said the reform was aimed at creating an investment environment based on clear rules, strong institutions and long-term partnerships.

According to the President, the framework would create conditions for capital to enter Nigeria, support the growth of local businesses and ensure that the country’s natural resources generate sustainable benefits for Nigerians.

The Presidency said the framework was developed through collaboration between the Federal Ministry of Justice, Federal Ministry of Finance, Federal Ministry of Petroleum Resources, Nigeria Revenue Service, NNPC Limited, Nigerian Upstream Petroleum Regulatory Commission and Nigerian Content Development and Monitoring Board.

Investing partners and other industry stakeholders also participated in the process.

The administration expects the new framework to strengthen Nigeria’s position as a destination for deep offshore investment at a time when oil-producing countries are competing globally for increasingly mobile capital.

The government said the reform forms part of its wider efforts to expand investment, boost production, strengthen domestic participation in the petroleum industry and increase the economic value derived from Nigeria’s oil and gas resources.