Tinubu Hails Shell’s $2bn Gas Investment, Says Nigeria Fully Open for Business

President Bola Tinubu has welcomed Shell’s $2 billion Final Investment Decision (FID) on a new offshore gas project that will supply 350mmscf/d from 2028, marking Nigeria’s third major energy investment under his administration

Tinubu Hails Shell’s $2bn Gas Investment, Says Nigeria Fully Open for Business

President Bola Ahmed Tinubu has welcomed the $2 billion Final Investment Decision (FID) by Shell for the development of the HI Field Gas Project in OML 144, describing it as a landmark boost for Nigeria’s energy sector and a strong validation of his administration’s economic reforms.

According to a statement on Tuesday by Bayo Onanuga, Special Adviser to the President on Information and Strategy, the HI Non-Associated Gas (NAG) project, located in Nigeria’s shallow offshore, will deliver 350 million standard cubic feet of gas per day (mmscf/d) starting in 2028—equivalent to nearly one-third of the gas requirements for the NLNG Train 7 project.

“This major FID announcement by Shell, their second in one year, is a clear validation of our wide-ranging reform efforts and a signal to the world that Nigeria is fully open for business and investment,” — President Bola Tinubu

The announcement brings total upstream investment commitments through FIDs in Nigeria’s oil and gas sector to over $8 billion since President Tinubu assumed office in 2023.

It marks the third major oil and gas FID in the last 18 months, following the Ubeta Non-Associated Gas Project and the Bonga North Deepwater Project.

“It marks yet another milestone in Nigeria’s journey to unlock its abundant gas resources for domestic and export use,” the statement added.

Together, the Ubeta and HI gas projects are expected to supply up to 15 percent of NLNG’s total feedgas requirements, powering Trains 1 through 7.

Since 2024, the Tinubu administration has rolled out a series of targeted energy reforms—including fiscal incentives, regulatory clarity, and faster approval processes—that have restored investor confidence and positioned Nigeria as a competitive global investment destination.

“The three landmark FIDs—the HI and Ubeta gas projects, and Bonga North deepwater—represent blueprint projects unlocked by the Federal Government to drive implementation of the presidential directives,” the statement noted.

The HI gas field, discovered in 1985, is being developed under Presidential Directive 40, which introduced a competitive fiscal framework for non-associated gas in onshore and shallow offshore fields.

Olu Arowolo Verheijen, Special Adviser to the President on Energy, said, “With the Ubeta FID and now the HI FID, we have secured the gas supply needed to make NLNG Train 7 not just possible, but transformative. These projects will strengthen LNG exports, boost domestic LPG supply, reduce imports, and expand clean cooking access for millions of Nigerian households.”

Peter Costello, Shell’s Upstream President, reaffirmed the company’s commitment, “Following recent investment decisions related to the Bonga deepwater development, today’s announcement demonstrates our continued commitment to Nigeria’s energy sector, with a focus on Deepwater and Integrated Gas.”

The NLNG Train 7 project will expand Nigeria’s LNG production capacity by 8 million metric tonnes annually, a 35% increase from current levels. It is expected to create jobs, expand domestic gas supply, and strengthen Nigeria’s global standing in the LNG market.

President Tinubu reiterated his administration’s commitment to creating an enabling environment for both local and international investors.

“Nigeria’s economic reforms are producing real results—this investment is proof that when we make bold decisions, the world responds with confidence,” the President said. Read More