Shell takes FID on $2-billion offshore gas project in Nigeria

LAGOS, October 14, 2025 – Shell Nigeria Exploration Production Company (SNEPCo) and venture partner Sunlink Energies and Resources have reached a positive FID on the HI gas project offshore Nigeria, Shell announced on Tuesday.

Commanding a total investment estimated by the Nigerian government at USD 2 billion, the development will supply 9.9 mcm (350 mcf) of gas per day at peak to Nigeria LNG (NLNG), which exports LNG to global markets. Shell expects production will begin before the end of the decade.

The HI gasfield, located approximately 50 kilometres offshore in water depths of around 100 metres, was discovered in 1985 and is estimated to hold 285 million boe in recoverable resources. It is being developed as a joint venture between SNEPCo (40%) and Sunlink Energies and Resources (60%).

“This upstream project will help Shell grow our leading Integrated Gas portfolio, while supporting Nigeria’s plans to become a more significant player in the global LNG market,” said Peter Costello, Shell’s president of Upstream.

The project plan includes a wellhead platform with four wells, a pipeline connection to onshore processing facilities at Bonny Island, from where gas will be transported to NLNG and condensates to the Bonny Oil and Gas Export Terminal.

In August 2025, NLNG secured 36.5 mcm (1.29 bcf) per day of natural gas supply through several long-term contracts with Nigeria’s NNPC and international energy companies, including Oando, Aradel Holdings and First E&P. NLNG is owned by NNPC (49%), Shell Gas (25.6%), TotalEnergies (15%) and Eni (10.4%).

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