The Democratic Front (TDF) has announced that the $5 billion Bonga North Deep Offshore Field Final Investment Decision (FID) by Shell is a sign that Nigeria remains an investment-friendly destination.
This statement was made by the company and signed by its Chairman, Malam Danjuma Muhammad, and Secretary, Chief Wale Adedayo, on Thursday, according to a report by Energy Focus.
The group said the investment was bound to further raise the nation’s oil output and revenue as well as bolster its position as Africa’s largest oil producer.
According to the statement, the new investment’s relevance in the industry went beyond its financial worth to include the field’s prospective production of 350 million barrels of crude oil.
The group further stated that the investment will undoubtedly increase the country’s oil production and income even more and solidify its standing as Africa’s top oil producer.
And Shell’s investment coincided with a period of misunderstandings regarding IOCs abandoning Nigeria, even though many of them are actually responding to the administration’s incentives by making calculated investment choices.
“It is a thing of pride for us that the investment is the outcome of reforms introduced by the President through the Presidential Directives numbers 40, 41, and 42 to fast-track regulatory approvals, reduce operational costs, and promote competitive fiscal incentives in the oil and gas sector.
“We recall that earlier this year, the Ubeta upstream gas field known as OML 58 attracted a $500 million investment from TotalEnergies on account of Tinubu’s fiscal incentives to drive FDIs into the newly transformed oil and gas sector.
“The Ubeta upstream field is estimated to produce 350 million standard cubic feet of gas per day when operational and will go a long way to raise the country’s profile as a major gas producer,” TFP said.
TDF also joined the president, Tinubu, in celebrating the Final Investment Decision (FID) by Shell on the Bonga North Offshore Field and is confident that more IOCs will key into the fiscal incentives introduced by his administration to make fresh investments in Nigeria’s oil and gas sector.
