President Bola Ahmed Tinubu has signed a fresh Executive Order aimed at cutting project costs and attracting more investment into Nigeria’s oil and gas sector.
The Upstream Petroleum Operations Cost Efficiency Incentives Order (2025) introduces tax rewards for companies that meet approved cost-saving targets. Operators will be eligible to receive 50% of extra revenue gained by the government from such savings, with tax credits capped at 20% of annual tax liability.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) will publish annual benchmarks based on terrain—onshore, shallow water, and deep offshore.
“This is about building a sector that creates jobs and delivers value for Nigerians,” Tinubu said, as he appointed his Special Adviser on Energy, Olu Verheijen, to coordinate its rollout.
