The Federal Government has confirmed a major $2 billion investment by Shell in Nigeria’s oil and gas sector, with a Final Investment Decision (FID) reached for the development of the HI shallow offshore gas field in Oil Mining Lease (OML) 144.
This milestone is part of President Bola Ahmed Tinubu’s Renewed Global Investment Confidence plan and marks the third major FID secured under his administration, following the Ubeta and Bonga North projects. The announcement was made via a State House press release shared by Presidential Adviser on Information and Strategy, Bayo Onanuga.
The HI Field project, a Non-Associated Gas (NAG) development, is expected to deliver around 350 million standard cubic feet of gas per day by 2028 — nearly one-third of the gas requirements for Nigeria LNG Limited’s Train 7.
Combined, recent FIDs have brought over $8 billion in upstream investment commitments since Tinubu took office in 2023, signaling a resurgence of investor confidence in Nigeria’s energy sector.
Olu Arowolo, Special Adviser to the President on Energy, highlighted that the HI and Ubeta projects will supply up to 15% of NLNG’s feedgas needs, strengthening the country’s export capacity and boosting domestic LPG supply. He emphasized that the reforms introduced — including fiscal incentives and regulatory simplifications — are attracting further investments.
Shell’s Upstream President, Peter Costello, reaffirmed the company’s commitment to Nigeria, noting that the HI project supports both Nigeria’s gas ambitions and Shell’s global integrated gas portfolio. He also underscored the impact of NLNG Train 7, which will expand Nigeria’s LNG production by 35%, generating jobs and economic growth.
President Tinubu welcomed Shell’s second major investment in a year, calling it a strong endorsement of his administration’s reform agenda. “This is a clear validation of our wide-ranging efforts and a signal to the world that Nigeria is fully open for business and investment,” he said.
