PRESIDENT Bola Tinubu has welcomed the new Non-Associated Gas (NAG) development project by a subsidiary of Shell plc, Shell Nigeria Exploration and Production Company Limited (SNEPCo), and Sunlink Energies and Resources Limited.
When completed, the project will deliver approximately 350 million standard cubic feet of gas per day (mmscf/d) from 2028, about a third of the requirements of Nigeria LNG Limited’s Train 7 project.
The announcement, made by the Special Adviser on Information and Strategy, Bayo Onanuga, on his official X handle on Tuesday, said the projected gas production will bring total significant upstream investment commitments through Final Investment Decisions (FIDs) in Nigeria’s oil and gas sector, to over $8 billion since President Tinubu assumed office in 2023.
The investment marks Nigeria’s third major oil and gas FID in the last 18 months, following the Ubeta Non-Associated Gas project and the Bonga North deepwater project.
“The three initiatives represent key steps in unlocking Nigeria’s abundant gas resources for both domestic and export use,” the statement by Onanuga said in part.
Since 2024, President Tinubu has issued targeted directives under the reform agenda coordinated by the Office of the Special Adviser to the President on Energy.
The directives have introduced fiscal incentives, regulatory clarity, and simplified operating processes, reducing approval cycles and cutting contracting costs.
Special Adviser to the President on Energy, Olu Arowolo Verheijen, said the new projects demonstrate the effectiveness of the administration’s policies.
“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,” Verheijen stated.
“These projects will significantly strengthen the reliability of Nigeria’s LNG exports to global markets while expanding LPG supply for domestic use—reducing imports, boosting foreign exchange earnings, and advancing clean cooking access for millions of Nigerian households.”
Shell’s Upstream President, Peter Costello, added: “Following recent investment decisions related to the Bonga deep-water development, today’s announcement demonstrates our continued commitment to Nigeria’s energy sector, with a focus on Deepwater and Integrated Gas.”
President Tinubu reaffirmed his commitment to supporting investors.
“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,” he said.