
President Bola Ahmed Tinubu has welcomed with great enthusiasm the landmark announcement by Shell Petroleum Development Company (SPDC) on the $2 billion Final Investment Decision (FID) for the development of a major gas project in Nigeria’s shallow offshore HI Field, located in Oil Mining Lease (OML) 144. The development marks a crucial milestone in Nigeria’s ongoing efforts to expand its gas infrastructure, attract foreign investment, and solidify its position as a leading energy hub in Africa. According to industry observers, this decision by Shell underscores renewed investor confidence in Nigeria’s energy sector under the Tinubu administration and signals a promising phase of growth, job creation, and improved gas supply for both domestic and international markets.
In a statement released by the Presidency, Tinubu described the announcement as “a resounding vote of confidence in Nigeria’s economic reforms, investment climate, and the government’s commitment to fostering a stable and profitable environment for energy development.” The President commended Shell for its continued partnership with Nigeria, noting that the new project will play a vital role in achieving the administration’s ambitious target of harnessing gas as a transitional fuel to power industries, homes, and infrastructure. He emphasized that his government’s priority remains creating an enabling environment for investors and accelerating the development of Nigeria’s abundant gas resources, which are among the largest in Africa.
The HI Field project, situated in OML 144, is expected to significantly boost Nigeria’s gas production capacity and generate thousands of direct and indirect jobs across the oil and gas value chain. Shell, through its Nigerian subsidiary, announced that the project will involve drilling new gas wells, constructing offshore infrastructure, and developing processing facilities designed to deliver gas both for domestic consumption and export. The company also confirmed that the project will be executed with a strong focus on environmental sustainability, community development, and adherence to international best practices.
Industry analysts have described the $2 billion investment as a bold signal of Shell’s long-term commitment to Nigeria, despite challenges that have affected the global oil and gas sector. The project is expected to support the Nigerian government’s Decade of Gas initiative, which aims to promote gas utilization as the main driver of industrialization and economic diversification. Nigeria has for years struggled with underutilization of its vast gas reserves, frequent flaring, and infrastructural bottlenecks that hinder distribution and export. The new Shell investment is seen as a decisive step toward overcoming these obstacles and ensuring more stable energy supply for industries, power generation, and households.
Speaking during the announcement, senior officials from Shell reiterated the company’s dedication to Nigeria’s energy future, expressing confidence in the Tinubu administration’s reform agenda. “We are pleased to take this major step forward in partnership with the Nigerian government and our local stakeholders,” one executive said. “The HI Field development aligns perfectly with Nigeria’s goal of expanding gas-to-power projects and reducing emissions through cleaner energy sources. It is also an important part of Shell’s broader strategy to balance energy security with environmental responsibility.”
President Tinubu, who has made economic transformation through energy reform one of his top priorities, has consistently emphasized that natural gas represents the cornerstone of Nigeria’s sustainable development. His administration has been working to streamline regulatory frameworks, remove barriers to investment, and strengthen collaboration between the public and private sectors. The President’s Special Adviser on Energy noted that the Shell investment is a direct result of Tinubu’s consistent engagement with international oil companies and his insistence on transparent, predictable policies that encourage large-scale capital inflows.
Beyond the economic benefits, the project is also expected to have far-reaching implications for local communities and Nigeria’s energy transition goals. Government officials confirmed that part of the agreement involves social investment programs aimed at improving education, healthcare, and livelihood opportunities in the host areas. Tinubu reaffirmed that his government will closely monitor the project to ensure that the local population benefits directly from employment opportunities and infrastructure development. “We are not just building a gas project,” the President stated. “We are building communities, creating hope, and ensuring that the wealth beneath our soil translates into prosperity for our people.”
The announcement has also been welcomed by the Nigerian National Petroleum Company Limited (NNPCL), which described the FID as a testament to the ongoing synergy between the government, investors, and national stakeholders. Mele Kyari, the Group Chief Executive Officer of NNPCL, expressed optimism that the HI Field development will contribute significantly to Nigeria’s domestic gas supply and enhance its export potential. He reaffirmed the company’s readiness to collaborate with Shell and other partners to deliver the project efficiently and on schedule, noting that it aligns perfectly with NNPCL’s vision of becoming a globally competitive energy company.
Energy economists predict that the project could contribute significantly to Nigeria’s GDP growth over the next decade. Apart from increasing gas supply, it will stimulate ancillary industries, including fabrication, logistics, and local content services. Analysts also highlight that the investment could help alleviate Nigeria’s chronic energy shortage, which has hampered industrial productivity and discouraged manufacturing expansion. With the gas project expected to deliver additional volumes to power plants, industries could see improved electricity availability, reducing dependence on expensive diesel generators.
For international observers, the FID represents a turning point for Nigeria’s oil and gas industry, which has seen fluctuating investment levels in recent years due to insecurity, regulatory uncertainty, and global energy transition pressures. By successfully securing a multi-billion-dollar investment in such a critical period, the Tinubu administration appears to have sent a strong message that Nigeria remains open for business. Foreign investors are closely watching the progress of this and other projects to assess the long-term viability of the Nigerian energy market under the current administration’s reforms.
Meanwhile, reactions have been pouring in from across the country, with energy experts, business leaders, and community representatives expressing optimism that the Shell gas project could mark the beginning of a new era of growth. Some, however, have urged the government to ensure transparency, effective environmental management, and equitable distribution of benefits to prevent the kind of disputes that have plagued past oil ventures. Civil society groups have also called for strong local content participation to ensure Nigerian contractors and professionals gain maximum advantage from the investment.
As Nigeria continues to push its gas revolution agenda, the timing of Shell’s $2 billion commitment could not be more strategic. The world is shifting toward cleaner energy sources, and natural gas is seen as a vital bridge in that transition. By deepening its gas development capacity, Nigeria not only strengthens its domestic energy security but also positions itself as a key global player in the evolving energy landscape.
President Tinubu, in his closing remarks, reiterated that his administration will remain steadfast in its mission to transform Nigeria’s natural resources into real economic gains. “This is not just an investment in gas,” he said. “It is an investment in Nigeria’s future. It is proof that our reforms are working, that our country is open for business, and that with unity, transparency, and determination, we can achieve the greatness we envision.”
With this historic Final Investment Decision, Nigeria is poised to witness a major leap in its energy development journey. The Shell HI Field project in OML 144 stands as a symbol of renewed trust, economic revitalization, and a new dawn for the nation’s gas industry—a shining example of what’s possible when leadership vision meets investor confidence.