$21 Billion Bonga Southwest Project Advances Towards Final Investment Decision

Nigerian National Petroleum Company Limited (NNPCL) and its contractors have made significant progress in advancing the $21 billion Bonga Southwest/Aparo project towards a final investment decision. The project involves Shell Nigeria Exploration and Production Company Limited, Esso Exploration and Production Nigeria (Deepwater), and Nigerian Agip Exploration Limited.

The development marked a major milestone after the execution of an addendum to the Oil Mining Lease (OML 118) Production Sharing Contract (PSC) and the Dispute Settlement Agreement (DSA). This move gives effect to the fiscal and commercial terms approved by the federal government to support the project, reinforcing Nigeria's commitment to creating a competitive environment for deepwater investment.

The Bonga Southwest/Aparo project is expected to attract between $15 billion and $21 billion in investment over its life span, with peak production projected at about 175,000 barrels of oil per day and 140 million standard cubic feet of gas per day. This will boost Nigeria's oil and gas production, government revenues, and foreign exchange earnings while creating opportunities for local contractors and suppliers.