The Federal Government says Nigeria’s ongoing oil licensing exercise is expected to increase crude oil and condensate production by an additional 300,000 barrels per day (bpd) within the next three years.
Speaking at the Commercial Bid Conference in Abuja, the Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Mrs. Oritsemeyiwa Eyesan, said the expected increase would support the government’s goal of raising national oil production to three million barrels per day by 2030.
According to her, the assets on offer during the licensing round have the potential to add about 500 million barrels to Nigeria’s crude oil reserves.
Eyesan noted that Nigeria currently has an estimated 37.01 billion barrels of crude oil and condensate reserves, alongside 215.19 trillion cubic feet of natural gas reserves.
She disclosed that about 300 companies initially showed interest in the 50 oil assets offered during the licensing round. After the prequalification process, 196 firms qualified, while 143 companies eventually submitted 200 technical and commercial bids covering 37 assets.
She added that 13 oil blocks attracted no bids and would be returned to the licensing basket after further evaluation.
According to Eyesan, some of the unattractive blocks are located in frontier basins that still require additional exploration and risk reduction before they can attract investors.
She also revealed that President Bola Tinubu has approved another licensing round for 2026, stressing that successful bidders will have 90 days to meet post-award requirements or risk losing their licences to reserve bidders.
Eyesan reiterated that the commission would strictly enforce a “drill or drop” policy, requiring licence holders to fulfil their financial commitments and execute agreed work programmes.
Reacting to the development, National President of the Oil and Gas Services Providers Association of Nigeria (OGSPAN), Mazi Colman Obasi, said increased investment in the upstream sector would help boost Nigeria’s oil production, which currently stands at about 1.7 million barrels per day, including condensate.
He also noted that the Federal Government’s proposed ₦68.32 trillion 2026 budget is based on a crude oil production target of 1.84 million barrels per day.
Meanwhile, petroleum economist Prof. Iledare Wumi welcomed the initiative but urged the government to focus on effective implementation, saying Nigeria’s challenge has been execution rather than a lack of vision.
