Nigeria’s oil and gas industry has recorded a major rebound, with the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) announcing a dramatic increase in drilling activity and billions of dollars in new investments since its creation four years ago.
In a statement issued on Sunday by its Head of Media and Strategic Communication, Eniola Akinkuotu, the Commission revealed that the number of rigs operating in the country has grown from eight in 2021 to 69 as of October 2025 — representing a 762 per cent surge. Of these, 40 rigs are currently active, while others are in transit or under maintenance.
The agency attributed the growth to policy reforms introduced under the Petroleum Industry Act (PIA), saying the changes have restored investor confidence and positioned Nigeria as a competitive energy hub once again.
Revenue Growth and Fresh Capital Inflows
NUPRC stated that it has consistently surpassed government revenue targets in recent years — by 18.3 per cent in 2022, 14.65 per cent in 2023, and an impressive 84.2 per cent in 2024. It also confirmed the approval of 79 Field Development Plans (FDPs) between 2024 and 2025, valued at $39.98 billion, a move expected to boost production and attract further investment.
According to the statement, Nigeria’s crude oil output now averages 1.65 million barrels per day, with the Commission’s “Project 1mbopd” initiative aimed at raising production to 2.5 million barrels daily by 2027.
Improved Transparency and Reduced Oil Theft
The Commission noted that its digitised licensing process has made oil block allocations more transparent, earning praise from the Nigeria Extractive Industries Transparency Initiative (NEITI).
It also said crude oil theft has dropped by 90 per cent — from over 100,000 barrels per day in 2021 to about 9,600 barrels per day in September 2025 — due to coordinated security efforts and stricter monitoring.
Empowering Oil-Producing Communities
Through the Host Community Development Trusts, NUPRC reported that over ₦358 billion has been channelled into more than 530 community projects, including schools, health centres, and road construction in oil-producing regions. The initiative, it said, has helped foster peace and improved relations between oil companies and host communities.
Driving Gas Commercialisation and Regional Collaboration
The Commission added that it has completed the award of flare sites under the Nigerian Gas Flare Commercialisation Programme, which is expected to generate about $2.5 billion in new investments aimed at ending routine gas flaring.
On a continental scale, NUPRC said it has played a key role in creating the African Petroleum Regulators Forum, which now brings together 16 African nations to harmonise policies and strengthen Africa’s voice in global energy discussions.
While acknowledging ongoing challenges in sustaining output and meeting investment targets, the Commission said the achievements underscore the success of the Petroleum Industry Act and the renewed momentum in Nigeria’s upstream petroleum sector.
