By Oscar Chukwugekwu
In a big boost to the development of Nigerian content in oil and gas operations, Shell Companies in Nigeria said that it has awarded contracts worth $518 million to indigenous companies in 2025.
The move will reinforce its commitment to the growth of Nigerian content in the oil and gas industry.
The company’s Communications Manager, Mrs Gladys Afam-Anadu, disclosed this in a statement issued on Tuesday.
According to the statement, 123 indigenous companies were engaged across Shell’s operations and value chain during the year.
The statement quoted Shell’s Vice President, Commercial, Rohan D’Souza, as saying the payments reflected strong support for Nigerian service providers operating within the company’s businesses.
He said Shell views the development of indigenous companies as more than regulatory compliance, describing it as a long-term strategy that creates mutual value.
D’Souza noted that Nigerian firms have continued to provide technical, logistics and other specialised services, while benefiting from Shell’s capacity-building initiatives.
The statement also highlighted the recent launch of a $3 billion Contract Finance Facility by Shell Nigeria Exploration and Production Company Ltd. (SNEPCo).
The facility, established with nine leading Nigerian banks, is designed to help indigenous contractors execute projects awarded by SNEPCo.
It said the financing package would be available in both naira and United States dollars to improve contractors’ access to funding.
D’Souza further disclosed that Shell paid about $2.016 billion to the Nigerian Government in 2025.
The payments covered production entitlements, royalties, taxes and statutory fees, underscoring Shell’s longstanding partnership with Nigeria spanning more than six decades.
