Nigeria’s gas industry has received another major lift as energy giant Shell announced a $2 billion investment in developing the HI Field — a shallow offshore Non-Associated Gas project in OML 144.
The Special Adviser to President Bola Tinubu on Information and Strategy, Bayo Onanuga, disclosed the development in Abuja, describing it as a testament to the renewed confidence of global investors in Nigeria’s oil and gas sector.
According to the Presidency, the project will deliver about 350 million standard cubic feet of gas per day (mmscf/d) from 2028, becoming Nigeria’s second major gas investment within 18 months.
It also raises total upstream investment commitments through final investment decisions (FIDs) to over $8 billion since Tinubu took office in 2023.
Tinubu: Nigeria is Open for Business
President Tinubu hailed the development as proof of his administration’s economic reforms and Nigeria’s growing appeal to international investors.
“This major FID announcement by Shell, their second in one year, is a clear validation of our wide-ranging reform efforts and a signal to the world that Nigeria is fully open for business and investment,” he said.
The HI gas project — first discovered in 1985 — will supply nearly one-third of the feedgas needed for the Nigeria LNG Train 7 expansion, which will boost the nation’s liquefied natural gas (LNG) production by 8 million metric tonnes annually — a 35 % increase in capacity.
Reform-Driven Investments and Economic Promise
The presidency explained that the HI development follows the Ubeta Non-Associated Gas project and the Bonga North deepwater project, marking the third major FID in just 18 months.
Together, HI and Ubeta will supply up to 15 % of NLNG’s total feedgas requirements across Trains 1–7.
Special Adviser on Energy, Olu Arowolo Verheijen, attributed the milestone to new fiscal incentives introduced through Presidential Directive 40, which promotes competitiveness in onshore and shallow offshore gas projects.
“With the Ubeta FID and now the HI FID, we have secured the gas supply needed to make NLNG Train 7 not just possible, but transformative,” Verheijen said. “These projects will strengthen LNG exports, expand LPG supply for domestic use, reduce imports, and advance clean cooking access for millions of homes.”
Shell Reaffirms Commitment to Nigeria’s Energy Future
Shell’s Upstream President, Peter Costello, reaffirmed the company’s faith in Nigeria’s energy sector.
“Following recent investment decisions related to the Bonga deep-water development, today’s announcement demonstrates our continued commitment to Nigeria’s energy sector, with a focus on Deepwater and Integrated Gas,” he said.
The Presidency added that Tinubu’s administration remains focused on building an enabling environment for both local and international investors — positioning Nigeria as a competitive player in the fast-evolving global gas market.
What long-term benefits could this surge in gas investment bring to everyday Nigerians struggling with high energy costs and unemployment?
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