Shell’s $5 billion Bonga North deepwater oil project has recorded progress after Tenaris completed pipe coating work at Onne, Rivers State, strengthening Nigeria’s capacity to deliver complex oil and gas infrastructure locally.
The coating campaign was carried out by Pipe Coaters Nigeria Limited (PCNL), a subsidiary of Tenaris, using specialised insulation and anti-corrosion systems for the project’s production and water injection lines.
The milestone was announced alongside the celebration of Tenaris’ 25 years of operations in Nigeria and the inauguration of an upgraded five-layer thermal insulation plant. The upgrade represents a $10 million investment.
Bonga North is a subsea development designed to connect to Shell’s existing Bonga floating production, storage and offloading (FPSO) facility in water depths of about 1,000 metres.
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According to project officials, the development is expected to add up to 110,000 barrels per day to Nigeria’s oil production at peak capacity. The project holds estimated recoverable resources of more than 300 million barrels of oil equivalent.
Shell took the final investment decision on Bonga North in December 2024 and expects first oil before the end of the decade.
Speaking at the event, Bonga North Project Director Ian Kellagher, representing Shell Nigeria Exploration and Production Company Managing Director Ronald Adams, said completing the coating work in Nigeria demonstrated the country’s ability to support major deepwater developments.
He said the upgraded facility could also compete for future projects beyond Nigeria, while keeping more technical expertise, jobs and spending within the country.
The development is among the major deepwater projects expected to support Nigeria’s ambition to raise crude oil production to three million barrels per day by 2030.
However, its contribution will depend on completing the remaining development work and bringing the field into production.
