NNPC hails new deep offshore tax incentives as $50bn investment boost

By Onu Okorie

Nigerian National Petroleum Company Limited (NNPC Ltd.) has described the Federal Government’s approval of the Deep Offshore Oil and Gas Projects Incentives Tax Remission Order, 2026 as a major policy reform capable of strengthening Nigeria’s position as an attractive destination for oil and gas investment.
In a statement issued on Thursday, the national oil company said the new incentive framework would provide a transparent, predictable and globally competitive fiscal regime for qualifying greenfield deep offshore projects.
According to NNPC, the framework is expected to provide investors with the certainty required to commit long-term capital and accelerate Final Investment Decisions (FIDs) on major offshore developments.
The company said the policy could unlock more than $50 billion in new investments across Nigeria’s oil and gas sector, with major projects including Bonga South-West, Zabazaba and Owowo Deep Offshore developments expected to benefit.
NNPC noted that Bonga South-West, which received approval in March 2026, is expected to become the first FID on a Nigerian deepwater Production Sharing Contract asset since 2008.
The Group Chief Executive Officer of NNPC Ltd., Bashir Bayo Ojulari, described the tax remission order as one of the most significant policy interventions in Nigeria’s upstream petroleum sector in recent years.
Ojulari said the reform sends a strong message to international investors that Nigeria is committed to maintaining a stable, competitive and investment-friendly environment for deep offshore oil and gas development.
He stressed that fiscal certainty remains a critical factor influencing investment decisions in the petroleum industry.
According to him, the new policy aligns with NNPC’s strategy of sustaining existing production, accelerating growth and attracting fresh investment into high-value assets.
The NNPC chief executive expressed confidence that the incentives would contribute to the company’s ambition of raising Nigeria’s crude oil production to three million barrels per day by 2030.
Ojulari also disclosed that recent reforms in the petroleum sector had already attracted more than $34 billion in new investment commitments. He expressed optimism that the latest offshore incentives would further encourage investors to take timely decisions on strategic projects.
He commended President Bola Ahmed Tinubu for implementing reforms and executive orders designed to create a more conducive environment for investment and sustainable growth in Nigeria’s energy sector.
NNPC said the latest policy development reinforces its commitment to increasing oil and gas production, strengthening national energy security, attracting responsible investment and delivering long-term value to Nigeria.
The company maintained that the combination of fiscal certainty, policy stability and investment in deepwater assets would be critical to unlocking Nigeria’s offshore petroleum potential and supporting the country’s long-term production ambitions.