Shell’s $20 billion Nigeria Bonga bet collides with talk of an Argentina shale exit
Nigeria’s President Bola Tinubu has given the green light to investment-linked incentives for Shell’s Bonga South West deepwater oil project, following talks with CEO Wael Sawan. Sawan indicated a final investment decision could come by 2027, with projected capital and operating costs around $20 billion. Shell is also eyeing Nigeria’s exploration licence round. Tinubu emphasized these incentives aren’t “blanket concessions” but tied to fresh capital and output. Shell highlighted recent investments in Bonga North and a gas project supplying Nigeria LNG; Exxon Mobil is another Bonga partner. Timing is crucial. After years of stalled investment and declining output, Nigeria is pushing to accelerate major offshore projects. To make it happen, the country is relying on specific fiscal and regulatory adjustments.
