Ojulari says new fiscal framework will accelerate Final Investment Decisions, support 3 million barrels per day production target by 2030
By Suleiman Aremu | Solaremnews
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 the policy as a landmark reform capable of unlocking more than $50 billion in new investments and accelerating Nigeria’s drive towards its 3 million barrels of oil per day (MMbopd) production ambition by 2030.
The Group Chief Executive Officer (GCEO) of NNPC Ltd., Engr. Bashir Bayo Ojulari, stated this in a statement issued on Thursday by the company’s Chief Corporate Communications Officer, Andy Odeh.
Ojulari said the new Order had significantly strengthened Nigeria’s competitiveness as a destination for deep offshore oil and gas investment by providing a transparent, predictable and globally competitive fiscal framework for qualifying greenfield deep offshore developments.
According to him, the framework would provide investors with the fiscal certainty required to commit long-term capital, accelerate Final Investment Decisions (FIDs) and maximise the value of Nigeria’s offshore petroleum resources.
The new incentive regime is expected to unlock more than $50 billion in fresh investments, with major projects such as Bonga South-West, Zabazaba and Owowo Deep Offshore developments expected to benefit from the improved investment environment.
Bonga South-West, which received approval in March 2026, is expected to become the first Final Investment Decision on a Nigerian deepwater Production Sharing Contract (PSC) asset since 2008, underscoring the potential significance of the new fiscal framework to the country’s offshore upstream sector.
Ojulari described the Deep Offshore Incentives Order as one of the most significant policy interventions in Nigeria’s upstream oil and gas sector in recent years, saying it sends a strong signal to international investors about the Federal Government’s commitment to creating a stable and investment-friendly operating environment.
He said, “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.”
The NNPC GCEO said the policy was closely aligned with the company’s strategy of protecting its existing production base, accelerating near-term production growth and attracting new investment into high-value assets.
He expressed confidence that the incentive regime would strengthen NNPC Ltd.’s ability to achieve its strategic production target of 3 MMbopd, while creating greater value for its shareholders and the Nigerian economy.
“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 further disclosed that recent reforms across Nigeria’s petroleum sector had already stimulated more than $34 billion in new investment commitments.
He said the Deep Offshore Incentives Order was expected to build on the momentum generated by those reforms by enabling timely Final Investment Decisions on strategic offshore developments and supporting the development of Nigeria’s substantial deepwater resources.
The GCEO commended President Bola Ahmed Tinubu, GCFR, for what he described as his “relentless leadership and unwavering commitment” to creating an enabling environment for investment and sustainable growth in Nigeria’s energy sector.
He specifically acknowledged the role of several Presidential Executive Orders in strengthening the country’s oil and gas sector and improving the investment climate.
The latest policy intervention comes as Nigeria continues efforts to reverse production challenges, attract fresh capital into the upstream sector and increase crude oil output amid the country’s broader objective of strengthening energy security and maximising petroleum revenues.
NNPC Ltd. said the milestone further reinforces its commitment to sustainable production growth, attracting responsible investment, strengthening Nigeria’s energy security and delivering long-term value to the Federation.
The company expressed the expectation that the new fiscal incentives would not only stimulate investment in existing and prospective deep offshore assets but also contribute to increased production, improved economic returns and greater confidence among international investors in Nigeria’s petroleum industry.
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