Nigeria’s presidency said in a statement on Friday that oil major Shell sees $6 billion in investment prospects there, particularly in offshore, gas and liquefied natural gas (LNG) projects.
Following a slew of economic reforms when President Bola Ahmed Tinubu took office in May, Nigeria—the largest economy on the continent and a significant producer of oil—is attempting to draw in more international investment.
According to a statement from the presidency, Shell spokeswoman Zoe Yujnovich announced a “imminent” $5 billion investment in the Bonga North offshore project and a commitment to invest an additional $1 billion in gas and LNG over the next five to ten years. Yujnovich met with Tinubu in Abuja.
According to the statement, Shell is still dedicated to making investments in Nigeria, “especially as the company refocuses its investment to key into new and existing opportunities in the Deepwater and Gas sector.”
The previous governor of Lagos, Tinubu, declared his commitment to removing obstacles to energy sector investment.
“Our primary goal is to address any issues pertaining to investments,” the Nigerian leader declared in the statement.
“We will not stop until every obstacle is removed in our relentless pursuit of establishing Nigeria as the African hub for substantial investments across all critical domains.”
Nigeria, an OPEC member, has suffered a decrease in oil production in recent years as a result of attacks and extensive pipeline theft, as well as high operational costs that discourage onshore investment.
After years of discussion and delays, a new law known as the Petroleum Industry Bill was passed in 2021 with the intention of increasing foreign investment in the oil industry by changing laws pertaining to taxes, royalties, and regulations.
AFP
