NNPC ready to implement new production sharing contract framework – Ojulari

The Nigerian National Petroleum Company (NNPC) has announced its readiness to implement a new Production Sharing Contract (PSC) framework following President Bola Tinubu's approval of a new incentive regime for deep offshore oil and gas projects. NNPC Group Chief Executive Officer Bayo Ojulari disclosed this on his official X account, following the President's signing of the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026.

Ojulari stated that the new framework would replace years of individual negotiations with a more transparent and clear regime, potentially attracting up to $50 billion in new investments. The Bonga South West project, being developed by Shell and its partners, is expected to be the first beneficiary of the new policy. Ojulari emphasized that the NNPC would serve as the Federal Government's nominated counterparty, prepared to implement the amendments to the PSC framework.

The NNPC CEO highlighted that the policy could stimulate economic activity, create jobs, and boost local participation in the offshore oil industry. He also noted that the policy would strengthen Nigeria's position in attracting international capital, as the country aims to produce three million barrels of crude oil per day by 2030.