Nigeria has taken further steps towards the timely execution of Final Investment Decisions (FIDs on the $20 billion Zabazaba and Bonga Southwest Projects, following the actualization of these economic investment projects, which have taken a giant stride by Eni’s commitment to these projects.
The disclosure was made in a recent meeting between the management team of Eni and the Nigerian Minister of State for Petroleum (Oil), Sen. Heineken Lokpobiri, when the company visited the Minister for a briefing on the progress of their ongoing projects.
With particular reference to the Zabazaba and Bonga Southwest developments, Eni reiterated the company’s readiness to make speedy Final Investment Decisions (FIDs), noting the enormous oil reserves to be unlocked and the economic importance to Nigeria and the globe at large.
The Nigerian Minister, in his address, praised Eni management as represented by the visiting team for their resilient and unwavering commitment to the project, while urging them to double down on the timely actualization of the FIDs, as the present administration is unleashing all enablers for their successful execution
“While reaffirming our commitment to providing all necessary support for the successful delivery of these projects, I urged ENI to fast-track the FID process so that Nigerians can begin to enjoy the economic benefits and opportunities arising from these strategic investments,” Heineken stated.
The Zabazaba and Bonga Southwest development projects are valued at about $20 billion and are expected to add 150,000 barrels per day to Nigeria’s current production capacity. When they come onstream, they will significantly boost Nigeria’s oil production output to the 3 mmbpd target.
With a historic settlement agreement between the Federal Government of Nigeria, ENI, and Nigerian Agip Exploration Limited (NAEL) on the Oil Prospecting Licence (OPL) 245 dispute, the pathway is clear for the Final Investment Decision on the Zabazaba–Etan development, a project capable of strengthening the country’s long-term energy outlook.
Zabazaba (PML 103) was discovered by an exploration well in April 2006 and appraised/matured by three (3) appraisal wells, which encountered three (3) reservoir systems. The development plan for Zabazaba field is premised on a 150,000 BOPD capacity, FPSO processing facility centrally positioned with respect to the overall subsea configuration of the field, with a total of 22 wells planned in 2 phases
His Excellency, President Bola Ahmed Tinubu GCFR, in April approved a targeted fiscal incentive designed to unlock the long-awaited Final Investment Decision (FID) on the Bonga Southwest Aparo (BSWA) deepwater project, marking a milestone in Nigeria’s ongoing drive to attract strategic investments and accelerate sustainable economic growth. The project is estimated to attract about $20 billion in Foreign Direct Investment and position Nigeria for a new era of deepwater production.
The Bonga Southwest project will be the first FID on a Nigerian deepwater Production Sharing Contract asset since 2008, re-establishing Nigeria as a premier deepwater investment destination. The fiscal package approved by President Tinubu includes an enhanced Production Tax Credit and resolution of the 2021 dispute settlement agreement, creating a competitive framework that balances national value with investor returns.
