The Federal Government has opened the 2025 Petroleum Licensing Round, offering 50 oil and gas blocks as part of a major push to draw new investments, grow reserves, and boost Nigeria’s long-term oil production capacity.
The bid round, announced in Abuja by the Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Gbenga Komolafe, is expected to attract up to $10bn in fresh capital and deliver as much as two billion barrels of additional crude reserves over the next decade.
Komolafe said the blocks span onshore, shallow-water, frontier, and deepwater terrains, with full details, maps, and guidelines already uploaded on the commission’s licensing portal. He noted that the exercise would follow a two-stage process—qualification and bidding—both fully digital to ensure transparency and alignment with the Petroleum Industry Act.
Of the 50 blocks on offer, 15 are onshore, 19 are in shallow waters, 15 are frontier acreage, and one lies in deepwater. Projections indicate that when fully developed, the awarded assets could jointly deliver around 400,000 barrels per day.
The NUPRC boss stated that the round builds on the success of the 2024 exercise, which was concluded without disputes and earned commendation for its transparent procedures. He added that rig count across the country has been rising, reflecting renewed investor interest and growing field activity.
To prevent past issues where companies without capacity won oil blocks, the commission has strengthened its rules. Bidders must now prove technical competence, financial capability, and present a development plan. A bid guarantee has also been introduced to ensure only serious investors participate and follow through after winning.
Komolafe explained that company age is no longer a determining factor, as what matters is the ability to fund and develop the asset. He also noted that signature bonuses are no longer used as a winning criterion, removing the incentive for inflated offers from bidders who later default.
He said the commission will continue international roadshows, including planned engagements in Asia, to showcase Nigeria’s hydrocarbon potential to global investors amid increasing competition for energy capital.
Nigeria’s upstream sector has faced years of underinvestment and regulatory uncertainty, but officials say the 2025 Licensing Round is central to rebuilding confidence, expanding indigenous participation, and restoring Nigeria’s position as a major oil investment destination.
