Shell Nigeria Exploration and Production Company Limited announced on June 30, 2025, plans to increase its stake in the Bonga Deepwater Field, Nigeria’s first deepwater project, to enhance its 55% ownership in the $10 billion asset.
The field, operational since 2005, produces 225,000 barrels of oil daily, contributing 10% to Nigeria’s 2.4 million bpd output. Shell’s move follows NNPC Limited’s approval to transfer a 10% stake from exiting partners, boosting Nigeria’s $50 billion oil revenue target for 2025.
The expansion, requiring $2 billion in capital, aims to extend Bonga’s lifespan to 2040, leveraging its 1 billion-barrel reserve. Shell’s Managing Director, Ronald Adams, cited Nigeria’s improved fiscal policies under Tinubu, which cut royalties by 5%, as a catalyst.
The project will create 5,000 jobs and increase gas supply by 20% to Nigeria’s 8,000 MW power grid. Environmental groups, noting Bonga’s 2011 spill of 40,000 barrels, demand stricter oversight, while 60% of X posts support the economic benefits. Shell plans a Q4 2025 drilling campaign, targeting a 15% production hike.