The Chief Executive Officer of Shell Plc, Wael Sawan, has hinted that the oil giant’s readiness to investment in Nigeria.
Speaking during a meeting with President Tinubu at the Presidential Villa in Abuja, Sawan said Shell was expanding its footprint in Nigeria and was prepared, alongside its partners, to commit an additional $20 billion in investments, attributing the decision largely to the President’s decisive and forward-looking leadership.
In a statement issued by the President’s spokesman, Bayo Onanuga, Sawan noted that Nigeria, under the Tinubu administration, has emerged as one of the leading destinations for investments by major international oil companies.
Referencing Shell’s recent commitments—including $5 billion in the Bonga North project, $2 billion in HI, and investments in the gas project linked to NLNG—Sawan reaffirmed the company’s long-term commitment to Nigeria, citing the improved stability of the country’s economic environment.
“We have really been in a space where we are very keen to invest in Nigeria. But I would say this has not always been the case. Your leadership and your vision have created an investment climate over the last few years that, I will be very honest with you, propelled us to invest, in particular, also as we compare to other investments around the world,” he said.
“Stability in today’s environment will honestly have a premium for corporates because we are investing not for one administration or five or 10 years, we want to invest for 20, 30, 40 years and in the case of Nigeria, for many, many decades.”
On the expansion of Shell’s portfolio in the country, Sawan disclosed that the company had strengthened its position in Block OML 118, also known as the Bonga Block.
“Total Energies was selling, so we bought it because we want to deepen further. But that, we think, is not enough. We think there is more to invest here, and we understand the vision that you have for the country. And so we are indeed working on a project, Bonga Southwest, that could, if we reach an FID stage, see us, with our partners, invest around $20 billion in foreign direct investment, half of which will be capital. The other half will be the operating expenses and the like that will come into the country,” he said.
“This will be one of the biggest, I would say, energy projects in the world.”
He added that additional prospects remain in the pipeline for future investments.
“We still see opportunities like Bonga South, which is further in the funnel, to be able to continue to invest.”
Sawan described Shell’s renewed investment drive as a major shift from its position several years ago, when the company was scaling back its operations in Nigeria.
“Your Excellency, to Bonga Southwest, that huge project, I would like to thank you. I want to thank you for the leadership you have shown there to be able to provide the incremental incentives that are now getting us line of sight to an investment in this project with our partners,” the Shell Chief Executive said.
He also praised the President’s team, describing them as highly professional and instrumental in building investor confidence.
“And that leadership, I would also say, has put many of the people that we are working with, your team, are amongst the best that we are dealing with anywhere in the world, and that professionalism allows us to be able to have the confidence, and I would say our partners as well, to have the confidence to continue to invest,” he concluded.
At the meeting, President Tinubu approved the gazetting of targeted, investment-linked incentives to support Shell’s proposed Bonga South-West deep offshore oil project and those of its partners.
The President further instructed his Special Adviser on Energy, Mrs Olu Arowolo-Verheijen, to ensure the incentives are gazetted in line with Nigeria’s existing legal and fiscal frameworks.
“These incentives are not blanket concessions,” the President stated. “They are ring-fenced and investment-linked, focused on new capital and incremental production, strong local content delivery, and in-country value addition.
“My expectation is clear: Bonga South West must reach a Final Investment Decision within the first term of this administration,” President Tinubu added.
