Economy
Tinubu Approves New Incentives for Shell’s $5bn Bonga South West project
By Adedapo Adesanya
President Bola Tinubu has approved targeted incentives to unlock Shell’s long-delayed $5 billion Bonga South-West deep-offshore oil project.
The approval came while receiving a Shell delegation led by its Global Chief Executive Officer, Mr Wael Sawan, at the State House, Abuja, on Thursday.
According to the President’s Special Adviser on Media and Public Communication, Mr Sunday Dare, the approved incentives are “disciplined, targeted, and globally competitive,” designed to attract new capital without undermining government revenues.
“These incentives are not blanket concessions. They are ring-fenced and investment-linked, focused on new capital and incremental production, strong local content delivery, and in-country value addition. My expectation is clear: Bonga Southwest must reach a Final Investment Decision within the first term of this administration.”
The Bonga Southwest project, located approximately 120 kilometres offshore Nigeria in water depths exceeding 1,000 metres, has been stalled for over a decade due to fiscal disagreements between the federal government and Shell Nigeria Exploration and Production Company and its joint venture partners.
The project, estimated to cost over $5 billion, is expected to produce about 150,000 barrels of oil per day at peak capacity and holds significant potential for gas production, experts say.
Previous administrations struggled to reach an agreement with Shell on the fiscal terms for the project, with the oil giant seeking incentives to make the capital-intensive deep-water development commercially viable amid declining global oil prices and Nigeria’s challenging investment climate.
Mr Tinubu directed his Special Adviser on Energy, Olu Verheijen, to facilitate the gazetting of the incentives in line with Nigeria’s existing legal and fiscal frameworks, including the Petroleum Industry Act 2021.
The President emphasised the strategic importance of the project to Nigeria’s economy, noting its potential to create thousands of direct and indirect jobs, generate significant foreign exchange inflows, and deliver sustained government revenues over its lifespan.
He added that the project would deepen Nigerian participation in offshore engineering, fabrication, logistics, and energy services. Tinubu reaffirmed his administration’s commitment to policy stability, regulatory certainty, and speed, noting that these reforms are critical to restoring investor confidence and positioning Nigeria as a preferred destination for large-scale energy investment.
He revealed that Shell and its partners have invested nearly $7bn in Nigeria in the past 13 months, particularly in the Bonga North and HI projects, describing this as evidence that the country’s economic and energy-sector reforms are yielding results.
Responding, Shell CEO Wael Sawan said Nigeria’s investment climate has improved remarkably under the Tinubu administration, adding that the company is increasingly confident in Nigeria as a destination for long-term investment.
The Bonga field, operated by Shell, commenced production in 2005 and was Nigeria’s first deep-water development.
By Adedapo Adesanya
Nigeria’s Minister of Steel Development, Mr Shuaibu Abubakar Audu, has told European investors that the country’s steel sector alone consumes about $10 billion annually, presenting a huge market opportunity for serious global players.
In a statement by the Director of Information and Public Relations in the ministry, Ms Salamatu Jibaniya, it was stated that the Minister made this disclosure when he took Nigeria’s industrialisation drive to Germany, declaring that the country is ready to trade its abundant raw materials status and embrace full-scale value addition.
Addressing the Nigeria–German Economic Forum in Dortmund, Mr Audu projected Nigeria as Africa’s next industrial hub, in line with the Renewed Hope Agenda of President Bola Tinubu.
“With a population of nearly 250 million, largely youthful and energetic, Nigeria is primed for industrial take-off,” he said.
He disclosed that the country holds over three billion tonnes of iron ore, alongside vast deposits of limestone, manganese, copper, lead-zinc, lithium and rare-earth minerals, positioning Nigeria for both domestic industrial growth and export expansion.
Mr Audu urged EU investors to key into steel and aluminium production, mineral beneficiation and processing, as well as critical infrastructure development covering power, rail, gas and ports.
He stressed that beyond capital inflow, Nigeria is prioritising technology transfer and technical skills development to strengthen local capacity.
At the high-level forum, the minister was received by Germany’s Minister for Federal, International and European Affairs, Mr Nathanael Liminski; Lord Mayor of Dortmund, Mr Alexander Kalouti; President of the Dortmund Chamber of Commerce and Industry, Mr Heinz-Herbert Dustmann; and Consul General to Slovakia, Mr Klaus Wagener.
By Aduragbemi Omiyale
To boost Nigeria’s cocoa export value chain, Sunbeth Global Concepts Limited has secured approval to issue commercial papers worth N200 billion to investors.
In the first tranche, the cocoa exporter will sell the debt instrument worth about N100 billion in three series across three tenors of 180 days, 270 days and 364 days.
Subscription for the CP commenced on Friday, February 27, 2026, and will close on Thursday, March 5, 2026, with allotment and settlement scheduled for Friday, March 6, 2026.
Interested investors can purchase the commercial papers with a minimum of N5 million and in multiples of N1,000 thereafter.
The company stated that proceeds from the exercise would be used to finance contractual working capital requirements, including inventory procurement and the execution of physical and hedged offtake obligations within its export operations.
The Chief Operating Officer of Sunbeth, Mr Nzubechukwu Anisiobi, said the programme reflects the firm’s disciplined capital strategy and strong credit fundamentals.
“The establishment of our N200 billion Commercial Paper Programme reflects our disciplined capital strategy and solid credit profile.
“In a working capital-intensive export business, access to structured short-term funding strengthens liquidity, supports efficient contract execution and preserves balance sheet stability,” he stated.
Further emphasising investor confidence in the company’s governance and risk framework, he noted that, “The Programme underscores the confidence the capital markets have in our governance standards, earnings resilience and robust risk management discipline.”
Sunbeth, which is a top-five non-oil export contributor in Nigeria, was established in 2017 and has exported over 200,000 metric tonnes of cocoa beans and 60,000 metric tonnes of cashew nuts to international markets.
In 2025, it recorded over N600 billion in revenue, reinforcing its scale within Nigeria’s agricultural export ecosystem.
The organisation works directly with more than 30,000 farmers and collaborates with over 250 local buying agents across Nigeria.
Its global strategic partners include Cargill, GCB Group, JB Cocoa, Touton, Macquarie and StoneX, enabling diversified offtake and multi-destination market access across Europe, Asia and the United States.
By Adedapo Adesanya
Five price advancers buoyed the NASD Over-the-Counter (OTC) Securities Exchange by 1.88 per cent on Tuesday, March 3, as the demand for unlisted stocks continues to grow.
During the session, the market capitalisation added N46.64 billion to close at N2.524 trillion versus the Monday session’s N2.477 trillion, and the NASD Unlisted Security Index (NSI) increased by 77.94 points to finish at 4,219.47 points compared with the previous day’s 4,141.53 points.
11 Plc gained N13.23 yesterday to sell at N290.23 per share compared with the preceding session’s N277.00 per share, FrieslandCampina Wamco Nigeria Plc appreciated by N7.76 to N117.76 per unit from N110.00 per unit, Central Securities Clearing System (CSCS) Plc improved by N7.05 to N84.05 per share from N70.00 per share, First Trust Mortgage Bank Plc added 17 Kobo to close at N1.92 per unit versus N1.75 per unit, and Industrial and General Insurance (IGI) Plc advanced by 4 Kobo to settle at 49 Kobo per share versus 45 Kobo per share.
On the flip side, Food Concepts Plc dropped 37 Kobo to sell at N3.39 per unit compared with the previous day’s N3.76 per unit, and NASD Plc dipped 20 to N56.21 per share from N56.41 per share.
On Tuesday, the volume of securities went down by 19.6 per cent to 1.4 million units from 1.8 million units, but the value of securities increased by 447.2 per cent to N93.4 million from N17.1 million, and the number of deals soared by 118.5 per cent to 59 deals from 27 deals.
At the close of transactions, CSCS Plc remained the most active stock by value (year-to-date) with 35.8 million units sold for N2.2 billion, trailed by Okitipupa Plc with 6.3 million units worth N1.1 billion, and Geo-Fluids Plc exchanged 122.8 million units valued at N480.4 million.
The most active stock by volume (year-to-date) was Resourcery Plc with 1.05 billion units worth N408.7 million, followed by Geo-Fluids Plc with 122.8 million units worth N480.4 million, and CSCS Plc with 35.8 million units transacted for N2.2 billion.
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