The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced that 13 of the 50 oil and gas blocks offered in the 2025 licensing round will be returned to the government’s licensing pool after failing to attract bids.
Speaking at the Commercial Bid Conference in Abuja on Tuesday, the Commission Chief Executive, Oritsemeyiwa Eyesan, said interest was recorded in 37 blocks, while 196 companies qualified for the commercial bidding phase following the technical evaluation process.
According to her, 140 companies initially submitted 196 bids, while 143 firms eventually filed 200 technical and commercial bids covering the 37 blocks that attracted investor interest.
Eyesan said the licensing exercise drew participation from indigenous firms, international operators, new entrants and existing players, describing the turnout as a sign of sustained confidence in Nigeria’s upstream petroleum industry.
She noted that the bidding process was conducted under pre-announced guidelines, with technical and commercial requirements made available to participants before the exercise. She added that the Nigeria Extractive Industries Transparency Initiative (NEITI) monitored the bid opening and evaluation process to strengthen transparency.
The NUPRC boss stressed that the commission assessed bidders based on technical expertise, operational experience, financial capability, organisational strength and their ability to execute proposed work programmes within set timelines, rather than focusing solely on the highest financial offers.
The 2025 licensing round, launched in December 2025, covers 50 oil and gas blocks spread across the Niger Delta, shallow offshore areas, deep offshore, the Benin Basin, Anambra Basin, Chad Basin and the Benue Trough.
Eyesan said the successful development of the assets could add about 500 million barrels to Nigeria’s crude oil reserves and increase production by an estimated 300,000 barrels per day within the next three years. She added that the initiative is expected to support the country’s target of raising crude oil production to three million barrels per day by 2030.
She warned prospective winners that licences would not be retained without active development, citing the Petroleum Industry Act’s “drill or drop” provisions. According to her, companies that fail to meet development obligations risk losing the assets.
Eyesan also clarified that emerging as the highest bidder does not automatically guarantee the award of a Petroleum Prospecting Licence. Successful bidders must meet post-award conditions, including payment of signature bonuses, annual rents, provision of required guarantees and execution of contractual agreements within 90 days, or risk forfeiting the award.
She disclosed that President Bola Tinubu has approved the commencement of the 2026 licensing round, encouraging unsuccessful applicants to participate in the next exercise.
Also speaking at the conference, Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, described the commercial bid conference as another step towards improving transparency and investor confidence in Nigeria’s oil and gas sector under the Petroleum Industry Act.
Ekpo said the Federal Government remains committed to creating a favourable investment climate that will boost exploration, increase production and maximise the value of the country’s hydrocarbon resources.
He added that expanding upstream investments would also strengthen gas development, improve domestic supply, support industrial growth and reinforce Nigeria’s position in the global natural gas market.
Despite renewed investor interest, concerns persist in several oil-producing communities over the environmental impact of oil exploration, including oil spills, gas flaring and other ecological challenges.
