By Ahmed Aliyu, Abuja
The Nigerian National Petroleum Company Limited (NNPC Ltd.) says the Federal Government’s newly signed Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026 could unlock more than $50 billion in new investments and accelerate Nigeria’s crude oil production growth.
The company said the new order establishes a transparent, predictable and competitive fiscal framework for qualifying greenfield deep offshore oil and gas developments, providing greater certainty for investors and supporting the timely conclusion of Final Investment Decisions (FIDs).
NNPC Ltd. said the framework is expected to strengthen Nigeria’s competitiveness as a destination for deep offshore investment and support the country’s ambition of achieving 3 million barrels of oil per day by 2030.
Among the major projects expected to benefit are Bonga South-West, Zabazaba and Owowo Deep Offshore projects.
According to NNPC, Bonga South-West, which was approved in March 2026, is expected to become the first FID on a Nigerian deepwater Production Sharing Contract asset since 2008.
Speaking on the development, Group Chief Executive Officer of NNPC Ltd., Engr. Bashir Bayo Ojulari, described the new incentive framework as one of the most significant policy interventions in Nigeria’s upstream petroleum sector in recent years.
He said the order sends a strong signal to international investors that Nigeria is committed to providing a stable and investment-friendly environment for deep offshore development.
“Fiscal certainty is a critical driver of investment decisions, and this framework provides the additional clarity the industry has long sought,” Ojulari said.
He added that the policy aligns with NNPC Ltd.’s strategy of protecting existing production, accelerating near-term growth and attracting fresh investment into high-value petroleum assets.
According to him, the framework strengthens the company’s confidence in achieving its 3 million barrels-per-day production ambition, while creating additional value for shareholders and the Nigerian economy.
NNPC Ltd. further disclosed that recent reforms across Nigeria’s petroleum sector had already stimulated more than $34 billion in new investment commitments.
The company expects the Deep Offshore Incentives Order to build on this momentum by facilitating timely FIDs on strategic offshore projects.
Ojulari commended President Bola Ahmed Tinubu for what he described as sustained efforts to create an enabling environment for investment and sustainable growth in Nigeria’s oil and gas industry, particularly through Presidential Executive Orders aimed at strengthening the sector.
The new fiscal framework comes as Nigeria seeks to attract substantial long-term capital into technically complex offshore developments and increase crude oil production.
For the country, the successful implementation of the policy could have implications beyond crude production, including government revenues, employment, technology development, local industry participation and energy security.
NNPC Ltd. said the milestone reinforces its commitment to sustainable production growth, responsible investment, stronger energy security and long-term value creation for the Nigerian Federation.
