The Nigerian National Petroleum Company Limited has declared its readiness to execute the amended Production Sharing Contract framework following the Federal Government’s sanction of a new incentive regime for deep offshore oil and gas developments.

The Group Chief Executive Officer of NNPC Limited, Bayo Ojulari, made this known through a post on his verified X account on Wednesday after President Bola Tinubu executed the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026.

Ojulari stated that the updated framework will substitute years of case-by-case negotiations with a more transparent and structured regime intended to offer stronger clarity for investors operating in Nigeria’s deep offshore energy sector.

He noted that the policy has the potential to unlock up to $50 billion in fresh investments, with the Bonga South West project slated to serve as the initial beneficiary.

“Nigeria Just Made Offshore Oil Investment Simpler and More Attractive. President Bola Tinubu has signed the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, replacing years of case-by-case negotiation with one clear, transparent framework.”

Ojulari affirmed that NNPC Limited will function as the Federal Government’s designated counterparty and is fully equipped to implement the modified PSC terms.

“Up to $50bn in new investment. Bonga South West as the first beneficiary. And NNPC Limited standing as the Federation’s nominated counterparty, ready to implement the PSC amendments to bring it to life.”

The NNPC chief executive pointed out that the reform is anticipated to spark expanded economic activity, job growth, and enhanced involvement by indigenous businesses in the offshore oil ecosystem.

“This means more jobs for Nigerians, deeper local supply chains, faster progress toward our 3 million barrels per day production ambition by 2030.”

He added that the framework will bolster Nigeria’s capacity to compete for international capital at a period when oil-producing states are competing to draw investments into increasingly sophisticated and capital-heavy offshore developments.

“As always, certainty attracts capital. Nigeria is showing the world it’s ready.”

This step forms part of broader initiatives by the Federal Government to revive capital inflows into Nigeria’s oil and gas market by supplying clearer fiscal and regulatory conditions for project sponsors.

Deepwater developments typically demand significant initial financial outlay owing to technical complexity, specialized equipment, and extended gestation periods required to harvest crude from deepwater locations.

Consequently, government authorities have sought to improve the operational landscape and offer incentives capable of encouraging international energy firms to grant final investment decisions on major developments that have faced years of delay.

The Bonga South West development, managed by Shell alongside its venture partners, ranks among the primary offshore assets positioned to substantially boost Nigeria’s future oil output.

The venture is also expected to drive auxiliary expenditure throughout the Nigerian oilfield services and supply chain sector, generating commercial opportunities for domestic contractors and service providers.

The Federal Government maintains a target of raising national crude oil output to three million barrels daily by 2030, with heightened investment in deepwater and related high-complexity assets playing a crucial role in reaching that milestone.