The Democratic Front (TDF) has endorsed President Bola Tinubu’s approval of a new investment framework for Nigeria’s deep offshore oil sector, describing the initiative as a bold step towards unlocking the country’s vast petroleum potential.
In a statement signed by its Chairman, Danjuma Muhammad, and Secretary, Wale Adedayo, the group said the policy could attract an estimated $50 billion in new investment into the oil sector and strengthen Nigeria’s position in the global energy market.
TDF said Nigeria’s deep offshore oil fields, which have significant potential to boost crude oil production, remained largely underdeveloped because of difficulties in attracting investors under previous administrations.
“President Bola Tinubu’s decision to unlock $50 billion in new investment in the deep offshore oil fields underscores his determination to consolidate the gains of his ongoing reforms in the oil sector,” the group said.
According to TDF, the administration’s reforms have stimulated renewed investor interest in Nigeria’s offshore operations, with major international oil companies committing capital to deepwater projects.
The group cited Shell Petroleum PLC’s Final Investment Decision (FID) on the $5 billion Bonga North deepwater project in December 2024 as a major milestone. It also noted that a Final Investment Decision on the $10 billion Bonga Southwest project is expected.
TDF said the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, would create a more predictable investment environment by replacing the previous project by project negotiation approach with clearer eligibility criteria and implementation procedures.
“Rather than the previous slow project by project negotiation framework, the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026 provides for more transparent eligibility criteria, clear implementation processes and a durable investment architecture for investors on a long-term basis,” the group said.
The organisation described the policy as a significant move towards attracting the large-scale capital required to develop Nigeria’s deep offshore resources.
It expressed confidence that increased investment would improve Nigeria’s competitiveness in the global oil industry while expanding government revenue and supporting economic growth.
TDF also commended Tinubu for what it described as the effective application of his professional experience to governance and the oil sector, saying his administration was attracting multinational investors and promoting global best practices, transparency and accountability.
The group expressed optimism that Nigeria would, under Tinubu, strengthen its position as one of Africa’s leading destinations for oil and gas investment.
