By William Emmanuel Ukpoju
Nigeria stands at a critical juncture in its energy landscape, with deep-water oil and gas operations positioned as a game-changer for the country’s energy security and economic development.
According to Ronald Adams, Managing Director of Shell Nigeria Exploration and Production Company Limited (SNEPCo), strategic investments and conducive policies will be key to unlocking this vast potential.
Speaking at the 9th Sub-Saharan Africa International Petroleum Exhibition and Conference (SAIPEC) in Lagos, Adams emphasized that Nigeria’s deep-water fields are home to some of the world’s most promising gas reserves. These reserves, both associated and non-associated, could play a pivotal role in powering Nigeria’s future, supporting cleaner energy solutions, and contributing to global emissions reduction goals.
“Deepwater is a compelling consideration for Nigeria if the country must meet its oil production targets and implement ambitious development programmes,” Adams stated.
Creating a Favourable Investment Climate
Adams commended recent government reforms aimed at attracting investments in the oil and gas sector. These include executive orders on tax incentives, local content compliance requirements, and the reduction of petroleum sector contracting costs and timelines. He highlighted the importance of these measures as part of a renewed strategy to foster a competitive and forward-looking investment environment.
To fully capitalize on deep-water opportunities, Adams called for streamlined regulatory processes and consistent policy enforcement to eliminate bottlenecks that hinder progress.
Shell’s Commitment to Nigeria
Shell, a pioneer in Nigeria’s deep-water exploration with the Bonga field project launched in 2005, continues to lead the charge. The company recently celebrated the export of one billion barrels from the Bonga field and announced a $5-billion investment in the Bonga North deep-water project.
Adams highlighted the significant contributions of SNEPCo to Nigeria’s economy through tax and royalty payments, indigenous business development, and social investment initiatives across the country’s six geopolitical zones.
“Shell has powered progress in Nigeria, and our vision is to build on our support and help the country achieve energy security and economic development,” Adams said. “We will do this by continuing to take innovative approaches to deep-water development, reducing costs, and ensuring better and quicker returns for all stakeholders.”
Pathway to a Sustainable Future
Looking ahead, as Nigeria continues its journey toward energy security and economic growth, deep-water production offers a pathway filled with promise.
With Shell and other industry players at the helm, combined with supportive government policies, the nation is well-positioned to harness its vast offshore resources for the benefit of present and future generations.