The Nigerian Upstream Petroleum Regulatory Commission has announced plans to commence an annual oil block licensing round to enhance the nation’s crude oil and gas reserves.
The Commission Chief Executive, Gbenga Komolafe, made this known on Wednesday at the Nigeria International Energy Summit, where he spoke on ‘Imperative of Regulatory Efficacy in Optimisation of Upstream Activities.’
Nigeria’s oil and gas industry remains the backbone of the economy, contributing 95% of foreign exchange earnings and 70% of government revenue.
Komolafe reaffirmed NUPRC’s commitment to regulatory transparency and business-friendly policies to sustain these revenues.
“Our achievements speak for themselves: between 2023 and 2024, oil reserves increased by 1.43 per cent, reaching 37.5 billion barrels, while gas reserves grew by 0.21 per cent, reaching 209.26 trillion cubic feet,” Komolafe stated.
“Rig count increased from 8 in 2021 to 40 in 2025 and is projected to reach 50 before year-end,” he added, highlighting notable improvements in industry performance.
“Production increased by 70 percent from 1 million bopd in 2021 to the current production of circa 1.75 million bopd.”
The commission has already granted 27 Petroleum Prospecting Licenses (PPLs) across a variety of terrains in order to meet the goal of having 40 billion barrels of crude oil and 220 trillion cubic feet of gas reserves by the end of 2025.
“In pursuit of our goal to reach 40 billion barrels of oil and 220 trillion cubic feet of gas, we have vigorously pursued strategies to stimulate exploration activities and accelerate development,” Komolafe said.
“As part of these efforts, the commission successfully completed the 2022/2024 bid licensing round and awarded twenty-seven (27) Petroleum Prospecting Licenses (PPLs) across various terrains. Efforts are also on for the 2025 bid round, embracing a new paradigm of annual licensing rounds,” he stressed.
He noted that the NUPRC has been acquiring high-quality geological and geophysical data through multi-client service arrangements to enhance exploration activities.
Komolafe assured that the commission’s efforts to eliminate investment barriers, enhance regulatory transparency, and conduct investment roadshows have bolstered investor confidence.
“Through clear policies and competitive frameworks, we are attracting both local and international investments.
“We are also fostering innovation, advancing automation, digital oilfields, and Enhanced Oil Recovery (EOR) to drive sustainability, as well as supporting local content and technology localization,” he said.
On gas development, Komolafe reiterated the regulator’s commitment to expanding domestic gas utilization and infrastructure to meet growing energy demands.
“To deepen gas utilisation, every Field Development Plan (FDP) will include a firm commitment to fulfilling gas delivery obligations and increasing gas supply to the domestic market to meet rising local demand,” he stated.
He also outlined plans to promote deepwater exploration, adding, “As part of our forward-looking plan to advance deepwater development, we will promote the creation of deepwater clusters, fostering synergies in facility use to unlock the vast potential of Nigeria’s deepwater resources while reducing costs and leveraging economies of scale.”
In line with global sustainability efforts, Komolafe revealed that NUPRC will soon release its decarbonization framework for the upstream sector.
“The commission is organizing the first Nigeria Upstream Oil and Gas Decarbonization Forum next month, where we will present our governance and regulatory framework for decarbonization in the Nigerian upstream sector,” he announced.
With these strategic initiatives, the NUPRC aims to position Nigeria as a leading player in the global energy market while ensuring sustainability and long-term economic growth.
