Nigeria is targeting up to $50 billion in deep offshore investment after President Bola Ahmed Tinubu signed a new tax remission order designed to revive major oil and gas projects, beginning with the estimated $10 billion Bonga South West development.
The Nigeria deep offshore investment push is expected to provide investors with greater certainty while accelerating projects that have remained stalled for years.
New incentives for offshore projects
President Tinubu said the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, establishes a clear framework for existing deep offshore leases to reach Final Investment Decision by December 31, 2029 and qualify for the full standard incentive.
“For too long, some of our biggest offshore opportunities have remained stalled,” Mr Tinubu said.
He argued that Nigeria could no longer afford to leave valuable offshore resources undeveloped while international investors consider competing destinations for long term capital.
The order represents the tenth major policy directive of the Tinubu administration specifically targeting the oil and gas industry.
Bonga South West leads investment drive
The approximately $10 billion Bonga South West project is expected to be an early beneficiary of the new framework.
Beyond attracting capital, however, the President said the government wants a significant share of the resulting economic activity to remain in Nigeria.
He wants Nigerian engineers, fabrication yards, marine companies and technical service providers to participate directly in offshore developments.
Focus on jobs and Nigerian businesses
Projects receiving supplementary incentives will be required to undertake activities in Nigeria, subject to defined exceptions and Nigerian Content requirements.
Mr Tinubu said the broader ambition is to position Nigeria as Africa’s regional hub for deep offshore project execution.
“For me, the real measure of $50 billion will be what Nigerians see from it,” he said, pointing to jobs, stronger local businesses, increased oil production, higher government revenue and technical skills developed within the country.
The President said the policy was part of efforts to remove constraints affecting investment, production and value creation in the petroleum sector.
“Our natural resources must work harder for our people,” he said.
The government will now be looking to translate the new incentive framework into investment decisions, project activity and measurable benefits for Nigeria’s economy.
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