President Bola Tinubu has welcomed the news of Shell’s $2 billion Final Investment Decision (FID) on a new gas project in the shallow offshore HI Field, in OML 144.

When completed, the new Non-Associated Gas (NAG) development project will deliver approximately 350 million standard cubic feet of gas per day (mmscf/d) from 2028, equivalent to almost a third of the requirements of Nigeria LNG Limited’s Train 7 project.

According to a statement by Special Adviser to the President, (Information & Strategy) to the President, Bayo Onanuga, on Tuesday, the announcement brings total significant upstream investment commitments through Final Investment Decisions (FIDs) in Nigeria’s oil and gas sector to over US $8 billion since President Tinubu assumed office in 2023.

The investment decision is Nigeria’s third major oil and gas FID in the last 18 months, following the Ubeta Non-Associated Gas project and the Bonga North deepwater project.

“It marks yet another milestone in Nigeria’s journey to unlock its abundant gas resources for domestic and export use”, the statement read in part.

The Ubeta and HI gas projects can supply up to 15 percent of the NLNG’s total feedgas requirements, covering Trains 1 to 7.

Since 2024, President Tinubu has issued targeted directives as part of the industry reform coordinated by the Office of the Special Adviser to the President on Energy.

The directives have introduced fiscal incentives, regulatory clarity, operating process simplification, cutting contracting costs, and reducing approval cycle times.

“The reforms, now embedded in legislation, have restored investor confidence and repositioned Nigeria as a competitive investment destination.

“The three landmark FIDs—the HI and Ubeta gas projects, and Bonga North deepwater—represent blueprint projects selected and unlocked by the Federal Government to drive the implementation of the presidential directives.”