After Successful Talks With Buhari, Shell Gets Approval For N10bn Bonga Southwest Project

After years of delay, Shell has received approval to begin the Bonga Southwest project, following discussions held in London between its CEO Bern Van Beurden and Nigeria’s President Muhammadu Buhari.
The project, which was first scheduled for completion in 2014, is expected to add 225,000 barrels per day to Nigeria’s present production average of 1.8-2.00 million bpd.

After the discussions between Buhari and van Beurden, Minister of State for Petroleum Resources, Ibe Kachikwu, sent a letter to the Group Managing Director (GMD) of Nigeria’s state-owned oil company NNPC, Mikanti Baru, instructing the corporation and the Anglo-Duch oil company to conclude arrangements for the start of the project.

NNPC granted all necessary approvals and replied the Minister’s correspondence on the 6th of June, in a letter signed by the Group General Manager (GGM), National Petroleum Investment Management Service (NAPIMS), the investment section of NNPC. This project is one of several deep offshore projects delayed by uncertainty over the clarity of terms and an absence of funding.