Deep Offshore Incentive Order to Accelerate Investment, Production Growth — Ojulari
The Nigerian National Petroleum Company Limited (NNPC Ltd.) has welcomed the Federal Government’s signing of the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, describing the policy as a major reform capable of attracting fresh investments and boosting Nigeria’s crude oil production.
The NNPC Group Chief Executive Officer, Engr. Bashir Bayo Ojulari, said the new fiscal framework would enhance Nigeria’s competitiveness in the global deep offshore oil and gas market while supporting the country’s ambition of producing three million barrels of oil per day by 2030.
According to him, the Order provides a transparent, predictable and globally competitive fiscal regime for qualifying greenfield deep offshore projects, giving investors greater certainty to commit long-term capital and reach Final Investment Decisions (FIDs).
The new framework is expected to unlock more than $50 billion in new investments, including major developments such as Bonga South-West, Zabazaba and Owowo Deep Offshore projects.
Bonga South-West, which received approval in March 2026, is expected to become the first Final Investment Decision on a Nigerian deepwater Production Sharing Contract asset since 2008.
Ojulari described the incentive regime as one of the most significant policy interventions in Nigeria’s upstream petroleum sector in recent years.
“This is a transformative reform that sends a strong signal to global investors that Nigeria is committed to providing a stable, competitive and investment-friendly environment for deep offshore development,” he said.
He noted that fiscal certainty remained a critical factor in investment decisions, stressing that the new framework would provide the clarity investors had long demanded.
Ojulari said the policy was also aligned with NNPC Ltd.’s strategy of protecting existing production, accelerating near-term growth and attracting fresh investments into high-value assets.
“For NNPC Ltd., the Order aligns directly with our strategy of protecting our existing production base, accelerating near-term growth, and attracting new investment into high-value assets,” he said.
He added that the reform had strengthened the company’s confidence in achieving its three million barrels per day production target while creating additional value for shareholders and the Nigerian economy.
The NNPC chief further disclosed that recent reforms in the petroleum sector had already generated more than $34 billion in new investment commitments.
He said the Deep Offshore Incentives Order would build on the momentum by facilitating timely FIDs on strategic offshore projects.
Ojulari commended President Bola Ahmed Tinubu for what he described as his sustained leadership and commitment to creating an enabling environment for investment and sustainable growth in Nigeria’s energy sector.
He said the series of Presidential Executive Orders had contributed significantly to strengthening the country’s oil and gas industry.
The NNPC GCEO said the latest development reinforced the company’s commitment to sustainable production growth, attracting responsible investments, strengthening national energy security and delivering long-term value to the Nigerian federation.
