Shell Plc has signalled a major vote of confidence in Nigeria’s economy, with its Chief Executive Officer, Wael Sawan, praising President Bola Tinubu’s leadership for restoring investor trust and creating a stable environment for long-term investment.
Sawan disclosed that Shell and its partners are prepared to commit up to $20 billion in additional investments, citing what he described as the president’s “robust and bold leadership” as the key driver behind the renewed confidence.
Speaking during a meeting with Tinubu at the Presidential Villa, the Shell boss said Nigeria’s investment climate has undergone a marked turnaround compared with previous years, placing the country favourably against competing global destinations.
“We have really been keen to invest in Nigeria, but this has not always been the case,” Sawan said. “Your leadership and vision have created an investment climate that propelled us to invest, particularly when compared to other opportunities around the world.”
He stressed that stability is critical for global energy companies making multi-decade commitments, noting that Shell’s investment horizon in Nigeria spans 20 to 40 years and beyond.
Sawan highlighted Shell’s recent investments, including $5 billion in the Bonga North project, $2 billion in the HI project, and continued funding of gas development at Nigeria LNG (NLNG). He described the renewed spending as a “sea change” from earlier years when Shell scaled back its exposure in the country.
On future expansion, the Shell CEO revealed that the company has increased its stake in OML 118 (Bonga Block) following the acquisition of assets from TotalEnergies. He also disclosed plans for the Bonga Southwest project, which could attract up to $20 billion in investment if it reaches Final Investment Decision (FID).
“This will be one of the biggest energy projects in the world,” Sawan said, adding that further prospects such as Bonga South remain under consideration.
He also commended the professionalism of Tinubu’s economic and energy team, saying their competence has strengthened confidence among Shell and its partners.
In response, Tinubu approved the gazetting of targeted, investment-linked incentives to support the Bonga Southwest deep offshore oil project. He directed his Special Adviser on Energy, Olu Arowolo-Verheijen, to ensure the incentives are implemented within Nigeria’s existing legal and fiscal frameworks.
“These incentives are not blanket concessions,” Tinubu said. “They are ring-fenced and investment-linked, focused on new capital, incremental production, strong local content delivery and in-country value addition.”
The president added that his expectation is for the Bonga Southwest project to reach FID within the first term of his administration.
