• Ojulari says reforms already generated over $34bn in new commitments
•Declares it will hasten Nigeria’s 3m bpd production target
•Bonga South-west, Zabazaba, Owowo among projects expected to benefit
Emmanuel Addeh in Abuja and Peter Uzoho in Lagos
The Nigerian National Petroleum Company Limited (NNPC Ltd.) has welcomed the federal government’s signing of the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, describing it as a major policy intervention that could accelerate investment in Nigeria’s deepwater oil and gas sector and boost crude production.
The company said the new fiscal framework would enhance Nigeria’s competitiveness as an investment destination, unlock long-term capital and support the country’s ambition of increasing crude oil production to 3 million barrels per day (bpd) by 2030.
The Order, the company said in a statement, provides a transparent, predictable and globally competitive fiscal framework for qualifying greenfield deep offshore developments, giving investors greater certainty to take investment decisions and proceed with Final Investment Decisions (FIDs).
According to NNPC, the framework is expected to unlock more than $50 billion in new investments, including major projects such as Bonga South-west, which was approved in March 2026, as well as the Zabazaba and Owowo deep offshore developments.
Bonga South-west is expected to become the first Final Investment Decision (FID) on a Nigerian deepwater Production Sharing Contract (PSC) asset since 2008, underscoring the potential significance of the new fiscal incentives to the country’s offshore oil industry.
Commenting on the development, the Group Chief Executive Officer of NNPC Ltd., Bayo Ojulari, described the Order as one of the most significant policy interventions in Nigeria’s upstream sector in recent years.
“This is a transformative reform that sends a strong signal to global investors that Nigeria is committed to providing a stable, competitive 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 incentives were closely aligned with NNPC’s strategy of protecting existing production, accelerating near-term growth and attracting fresh capital into high-value assets.
“For NNPC Ltd., the Order aligns directly with our strategy of protecting our existing production base, accelerating near-term growth, and attracting new investment into high-value assets. It strengthens our confidence in achieving our strategic production ambition of 3 MMbopd while creating greater value for our shareholders and the Nigerian economy,” he said.
Ojulari said recent reforms in the petroleum sector had already generated more than $34 billion in new investment commitments, adding that the latest deep offshore incentives would build on the momentum by facilitating timely FIDs on strategic offshore projects.
He expressed appreciation to President Bola Tinubu for what he described as his “relentless leadership and unwavering commitment” to creating an enabling environment for investment and sustainable growth in the energy sector.
According to him, the Presidential Executive Orders introduced by the administration have strengthened Nigeria’s oil and gas sector and improved the investment environment.
The NNPC chief said the latest measure would further support sustainable production growth, attract responsible investment, strengthen Nigeria’s energy security and increase long-term value for the Federation.
The company said the Order represented another step in the federal government’s effort to revive investment in the upstream sector and reverse years of declining capital inflows into Nigeria’s oil industry.