BSWAp: NNPC, Parties Execute PSC, DSA Addenda

…Project to Attract $15-21bn Investment, to Become Nigeria’s Largest Deepwater Devt.

The Nigerian National Petroleum Company Limited (NNPC Ltd), and the OML 118 Contractor Parties — Shell Nigeria Exploration and Production Company Limited (SNEPCo), Esso Exploration and Production Nigeria (Deepwater) Limited, and Nigerian Agip Exploration Limited (NAE) have executed the Addendum to the OML 118 Production Sharing Contract (PSC) and the Addendum to the Dispute Settlement Agreement (DSA), marking a major milestone in the advancement of the deepwater Bonga Southwest/Aparo project (BWSAp) towards Final Investment Decision (FID).

A statement by Chief Corporate Communications Officer, NNPC Ltd, Andy Odeh, on Monday also explained that the execution gives effect to the fiscal and commercial terms approved by the Federal Government to support the development of BSWAp, and it reinforces Nigeria’s commitment to creating a competitive, stable and attractive environment for large- scale deepwater investment.

Odeh said the milestone follows the approval by President Bola Ahmed Tinubu of the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, an important component of the Federal Government’s ongoing reforms to enhance the competitiveness of Nigeria’s deepwater sector and unlock new investment.

He added that the BSWA PSC and DSA Addenda demonstrate the practical impact of these reforms in translating policy into investment and project development.

According to him, BSWAp is expected to be one of Nigeria’s largest deepwater developments, with the potential to attract $15 billion to $21 billion in investment over the life of the project and achieve peak production of about 175 kbopd of oil and 140 mmscfd of gas.

He said that the…