VP Shettima Says Friend Won Oil Block Without Political Connections

By Adedapo Adesanya

The Vice President, Mr Kashim Shettima, has disclosed that a friend of his without political connections successfully secured an oil block through an open and competitive bidding process.

Mr Shettima disclosed this on Tuesday in Abuja while representing President Bola Tinubu at the fifth anniversary of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).

The Vice President did not disclose the identity of his friend or the oil block awarded, indicating this happened at the recent bid for oil blocks.

He said the development demonstrated that the federal government had made the award of oil acreages more transparent and competitive.

“Acreages are now awarded through open and competitive bidding processes, and I can bear witness to this part,” Mr Shettima said. “A friend of mine with no connection whatsoever got awarded an upstream location through a fair and just process.”

Mr Shettima said the federal government remained committed to making Nigeria a preferred destination for long-term investment in the oil and gas industry, assuring investors that the rules were clear and would be enforced.

He said the Petroleum Industry Act (PIA) had helped to reduce uncertainty in the sector by establishing clearer regulatory rules and providing for greater participation by host communities.

According to him, investors who previously looked elsewhere were returning to Nigeria, adding that the country had been ranked Africa’s leading destination for oil and gas investment for two consecutive years.

Mr Shettima also said oil and gas production had become more stable in fields previously affected by theft and vandalism, following improved collaboration among security agencies, host communities and the NUPRC.

He said more than 170 host communities had benefited from projects in education, healthcare and other areas identified by the communities.

The Vice President said the government was also addressing high costs and lengthy contracting processes that had discouraged investment through presidential directives and executive orders designed to provide incentives for upstream and deep offshore projects.

He said the Deep Offshore Oil and Gas Project Incentive Tax Remission Order 2026 was expected to unlock up to $50 billion in new investment, beginning with the Bonga South-West project.

Mr Shettima charged the regulator to sustain transparency, provide predictable regulatory timelines and collaborate with other government agencies to eliminate regulatory conflicts.

He, however, warned that companies benefiting from government incentives must fulfil their obligations on work programmes, local content, environmental protection and host communities.

“The PIA is a strong foundation, but the foundation is only the beginning,” he said.

On gas, Mr Shettima said Nigeria must take advantage of its vast reserves to expand gas supply for industrial and economic growth.

“This is the decade of gas. With the largest gas reserve in Africa, and one of the largest in the world, we will expand gas supply to power industry and economic growth, reduce methane emissions and grow renewable energy alongside it,” he said.