Tinubu's Deepwater Incentives Unlock Nigeria's Trapped Oil Potential

Nigeria's deepwater oil and gas projects have been stuck in limbo for years, but President Bola Ahmed Tinubu's signing of the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, has changed the conversation around investment.

The framework provides a more predictable and competitive fiscal environment that could unlock over US$50 billion in new investment. One of the most promising projects is the Bonga South-West/Aparo project, which has seen significant progress after NNPC Limited and contractor parties executed addenda to the Production Sharing Contract and Dispute Settlement Agreement.

The agreement brings the long-delayed project closer to Final Investment Decision and opens the door to an estimated US$15 billion to US$21 billion investment over its life. At peak production, Bonga South-West/Aparo is expected to deliver approximately 175,000 barrels of crude oil per day and 140 million standard cubic feet of gas per day.

The project's success can be attributed to the leadership of NNPC Limited's Group Chief Executive Officer, Engr. Bashir Bayo Ojulari, who has been driving commercial discipline, transparency, investment attraction, operational efficiency, and removing obstacles to developing Nigeria's petroleum resources.