Tinubu Signs Executive Order to Unlock $50 Billion Deep Offshore Energy Boom

In a decisive move to revitalize Nigeria’s energy sector, President Bola Ahmed Tinubu has signed the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026.

The landmark policy directive aims to eliminate investment bottlenecks, enhance global competitiveness, and unlock up to $50 billion in deep offshore investments, starting with the long-delayed $10 billion Bonga South West project.

Under the new order, operators of existing deep offshore leases must reach a Final Investment Decision (FID) by December 31, 2029, to qualify for full tax incentives. President Tinubu emphasized that in a competitive global market, capital flows toward operational certainty rather than sheer resource volume.

Marking the administration’s tenth major oil and gas policy directive, the framework strictly aligns financial incentives with domestic value creation. To access supplementary benefits, operators must conduct primary activities within Nigeria, adhering to strict Nigerian Content requirements.

This policy is designed to activate local fabrication yards, create high-skilled jobs for young engineers, and empower domestic technical service companies, positioning Nigeria as Africa’s primary hub for deep offshore project execution.

The initiative stems from high-level engagements with industry leaders, including Shell plc CEO Wael Sawan, aimed at crafting a broader economic solution rather than single-project deals.

President Tinubu affirmed that the ultimate success of the Order will be measured by revenue growth for the Federation, local capacity building, and sustainable economic opportunities for all Nigerians.