Oil giant Shell has committed to investing $6 billion in Nigeria, primarily in offshore natural gas and liquefied gas (LNG) projects, the Nigerian president’s office said in a statement on Friday. Since taking office at the end of May, Head of State Bola Tinubu has adopted a series of economic measures aimed at attracting more foreign investment to the continent’s largest economy and main oil producer.
After meeting with Nigeria’s president in the capital Abuja, Shell representative Zoe Yujnovich announced an “imminent” $5 billion investment in the Bonga North offshore project and a commitment of another $1 billion over the next few years. next 5 to 10 years in natural gas and LNG, according to the press release. Shell has kept its investment promise in Nigeria, “particularly as the company reorients its investments towards new and existing opportunities in the deepwater and gas sector,” according to the official document.
A recent law to attract more foreign investment to the sector
President Tinubu, former governor of Lagos, has said he is determined to overcome obstacles to investment in the country’s energy sector. “We are determined to resolve all investment-related issues,” the Nigerian leader said in the statement.
One law, the Petroleum Industry Bill, passed in 2021 after years of debate and delays, was already aimed at attracting more foreign investment to the oil sector through changes to regulations, royalties and taxes. OPEC member Nigeria has seen its oil production decline in recent years due to widespread pipeline theft, attacks and high operating costs that have deterred onshore investors.
Source: BFM TV
