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The Federal Government has projected a major increase in Nigeria’s crude oil output, with expectations of adding about 600,000 barrels per day through fresh investments and project approvals in the upstream sector.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) said the rise will come from 28 Field Development Plans approved so far in 2025, which together could deliver an additional two billion standard cubic feet of gas daily.
If achieved, this would push Nigeria’s total crude production to around 1.89 million barrels per day, up from the 1.39 million barrels recorded in September.
NUPRC Chief Executive, Gbenga Komolafe, shared the outlook at the 2025 World Energies Summit in London, revealing that the approved projects represent $18.2 billion in capital commitments and could unlock 1.4 billion barrels of oil and 5.4 trillion cubic feet of gas.
He credited the renewed momentum to the Tinubu administration’s reforms and investor-friendly policies that have created transparency and confidence across the energy sector. Komolafe added that the Petroleum Industry Act (PIA) and new fiscal measures have strengthened Nigeria’s competitiveness in the global energy market.
“Rig activity has climbed from eight in 2021 to 70 currently, with 41 rigs drilling actively,” he noted, citing major projects such as the $5 billion Bonga North and $500 million Ubeta Gas Project as proof of strong investor trust.
Komolafe also said Nigeria is pursuing a balanced energy transition through the Decade of Gas initiative and a decarbonisation plan that integrates carbon capture, storage, and trading.
He highlighted that three Executive Orders signed by President Tinubu in 2024 have further incentivised operations in the oil and gas industry, while the implementation of the Host Communities provisions under the PIA has improved cooperation between companies and local communities.
The NUPRC chief invited investors to explore opportunities in the upcoming oil block licensing round, describing Nigeria as a “rising energy hub” with both mature and frontier basins now offering favourable fiscal terms.
Meanwhile, international oil companies are also increasing their stakes. Global energy firm Shell recently announced a $2 billion investment in the HI Field offshore gas project, raising total upstream commitments to over $8 billion since President Tinubu took office in 2023.
Officials say these investments confirm growing confidence in Nigeria’s oil and gas industry, underpinned by policy reforms, stability, and a renewed drive toward sustainable energy growth.
