Shell Commits to Supporting Reforms in Nigeria’s Oil and Gas Sector

Shell has expressed its commitment to supporting the recent reforms in Nigeria’s oil and gas industry, viewing them as a vital step toward enhancing growth and profitability in the sector.

“We welcome the reforms introduced by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), which have already increased crude oil production to approximately 1.75 million barrels per day, as reported by the agency,” stated Marno de Jong, Senior Vice President of Shell Nigeria, during a dinner at the Nigeria International Energy Summit (NIES) in Abuja on Wednesday. “Ongoing reforms will further boost production and yield better returns throughout the industry’s value chain.

Shell is dedicated to supporting these reforms as part of our long-standing commitment to Nigeria, where we have operated for over 60 years.”

The momentum for reform in the oil and gas sector has accelerated since the enactment of the Petroleum Industry Act (PIA) in 2021, with the NUPRC focused on improving oil and gas production and reserves, enhancing cost efficiency, and ensuring stability in host communities through various initiatives.

Marno added, “In addition to increasing production, these reforms are attracting significant investments, such as our final investment decision last year on the $5 billion Bonga North deep-water project.

Nigeria faces intense competition for capital and investor confidence, and attracting attention will necessitate a continuous reassessment of strategies and policies.

This approach will allow the country to leverage essential factors like technology, cost efficiency, and skilled manpower to foster business growth and sustainability for both international oil companies and independent producers.”