Lagos — Nigeria can transform risks and complexities in the oil and gas industry to opportunities for growth and development if operators and regulators collaborate in a business environment that encourages transparency and governance discipline without late-stage fiscal or regulatory shocks.
The remark was made on behalf of the Managing Director of Shell Nigeria Exploration and Production Company Limited (SNEPCo), Ronald Adams at the 10th Sub Saharan Africa International Petroleum Exhibition and Conference (SAIPEC) which began in Lagos this week.
“Nigeria continues to demonstrate that Africa remains investable,” Adams said in remarks at a panel session on “IOCs – De-risking Investments in African Oil and Gas Projects,” where he was represented by SNEPCo’s Finance Director Tunde Oduwole. Describing Nigeria as “a test case for African de-risking,” Adams said: “When there is long-term predictability of the investment climate in terms of competitive and stable fiscal and regulatory frameworks, risks can be actively managed to unlock significant capital for growth and development even in challenging environments.”
He pointed out that the vision of the government for the Nigerian energy sector demonstrated in reforms and constructive engagements with regulators, operators and co-venturers had contributed immensely in “boosting investor confidence and reducing uncertainties.” The improved investment climate has yielded positive results with SNEPCo’s FIDs on Bonga North in 2024 and HI the following year. This is a good example for Africa, he said.
Commenting on the role of IOCs in de-risking, Adams noted that Bonga’s sustained performance for over two decades was a direct outcome of SNEPCo’s commitment to safety leadership, disciplined maintenance philosophy, operational excellence, and continuous investments in human capital. He said Bonga’s operational performance not only strengthens investor confidence but also helps to attract investments in the deep-water sector in the country.
Adams added: “Nigeria shows that Africa’s oil and gas projects can compete globally when technical excellence meets regulatory alignment and local content capability. The Nigerian experience provides a blueprint for unlocking capital, accelerating project timelines, and sustaining value creation across Africa’s evolving energy landscape.”
