Abuja: The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced a remarkable increase in the country’s rig count, soaring from just eight in 2021 to 69. This development marks a significant boost in Nigeria’s upstream petroleum sector, reflecting renewed investor confidence and sectoral growth.
According to News Agency of Nigeria, Eniola Akinkuotu, Head of Media and Strategic Communication at NUPRC, highlighted several high-impact achievements of the commission since its establishment four years ago. Despite challenges inherited from the pre-Petroleum Industry Act (PIA) era, the commission has exceeded revenue targets, secured $39.98 billion in investments, and increased both rig count and crude oil production.
The commission’s latest rig count of 69 includes 40 active rigs, eight on standby, five on warm stack, four on cold stack, and 12 on the move, representing a 762.5% increase in less than four years. This success aligns with President Bola Tinubu’s assertion that Nigeria is ready for business, supported by NUPRC’s efforts to foster an inviting investment climate in the upstream sector.
NUPRC has approved significant divestments for 2024, including transactions from Nigeria Agip Oil Company to Oando Energy Resources, Equinor to Chappal Energies, Mobil Producing Nigeria Unlimited to Seplat Energies, and Shell Development Company Nigeria Limited to Renaissance Africa Energy. These divestments are part of an investor portfolio re-ordering strategy to focus on deep-offshore development.
In alignment with the PIA, 2021, NUPRC has developed 24 forward-thinking regulations in consultation with stakeholders, 19 of which have been gazetted. The commission has also surpassed its revenue targets in the past three years, contributing to Nigeria’s economic growth despite fluctuations in oil production and prices.
Between 2024 and 2025, NUPRC approved 79 Field Development Plans (FDP), with potential investments amounting to $39.98 billion. Current average daily crude oil production stands at 1.65 million barrels, with projections to increase to 2.5 million barrels per day by 2027 under the Project one million barrels per day initiative.
The commission has also transformed licensing rounds to be fully digital, enhancing transparency and credibility. It is implementing the ‘Drill or Drop’ policy to ensure optimal use of oil assets, having identified 400 dormant fields and prompting action from oil companies.
On the Gas Flare Commercialisation front, the commission completed awards of flare sites to successful bidders, aiming to eliminate gas flaring and attract $2.5 billion in investments. Host Community Development Trusts have remitted substantial funds, translating to a combined N358.67 billion based on current exchange rates.
NUPRC is overseeing 536 projects, including schools, health centers, roads, and vocational centers, funded by the trust fund to curb crude oil theft. The commission has recorded 306 development wells drilled and completed since 2022.
The NUPRC’s efforts have also drastically reduced average daily crude oil losses from 102,900 barrels per day in 2021 to 9,600 barrels per day, thanks to collaborative security measures.
Under the leadership of Gbenga Komolafe, NUPRC has championed the establishment of the African Petroleum Regulators Forum (AFRIPERF), fostering cross-border development and advocating for Africa’s hydrocarbon sector on the global stage.