The Federal Government says the 2026 bid round and ongoing 2025 Licensing Round will add 300,000 barrels of daily oil production and attract more upstream investment.
The Federal Government has projected that Nigeria’s oil production will receive a significant boost through the 2026 bid round, with the ongoing 2025 Licensing Round expected to deliver an additional 300,000 barrels of crude oil and condensate per day within the next three years.
The projection was disclosed by the Commission Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Oritsemeyiwa Eyisan, during the Commercial Bid Conference for the Nigeria 2025 Licensing Round held in Abuja. According to Eyisan, the expected increase in production will support the Federal Government’s ambition of raising Nigeria’s crude oil output to three million barrels per day by 2030.
She explained that the oil and gas assets currently on offer could also increase Nigeria’s reserves by about 500 million barrels. Nigeria’s proven crude oil and condensate reserves currently stand at 37.01 billion barrels, while its gas reserves are estimated at 215.19 trillion cubic feet.
Eyisan revealed that the licensing exercise attracted about 300 interested companies for the 50 oil and gas assets offered. After the prequalification process, 196 firms advanced to the bidding stage, while 143 companies eventually submitted about 200 technical and commercial bids covering 37 assets.
She added that the remaining 13 oil blocks that did not attract bids during the 2025 exercise have been moved into the 2026 bid round, providing another opportunity for investors. The NUPRC boss said the licensing process has been conducted in line with President Bola Tinubu’s directive to ensure transparency, fairness and compliance with global best practices.
She noted that the selection process would not rely solely on the highest signature bonus but on a combined assessment of technical competence, commercial strength, work programme commitments and the ability to develop the assets.
“The assets available in this licensing round have the potential to add about 500 million barrels to Nigeria’s reserves. Over the next three years, once successfully developed, these assets are expected to contribute a minimum of 300,000 barrels per day of crude oil and condensate production,” she said.
Eyisan stressed that the government would not allow petroleum assets to remain undeveloped, warning successful bidders to execute their approved work programmes or risk losing their licences.
“Our message is clear: drill or drop,” she stated, adding that investors must honour financial commitments and achieve agreed milestones. She also announced that President Tinubu has approved another 2026 bid round as part of efforts to establish regular and predictable licensing exercises aimed at sustaining exploration, increasing reserves and attracting long-term investment into Nigeria’s upstream petroleum industry.
Successful bidders, she said, will have 90 days after licence award to fulfil post-award obligations, including payment of signature bonuses, first-year rents and submission of required guarantees. Failure to comply will result in forfeiture of the licence to reserve bidders.
Also speaking at the conference, Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, said the licensing exercise would strengthen Nigeria’s Decade of Gas initiative by attracting investments needed to boost domestic gas supply, industrial growth and energy access.
Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, said reforms introduced through the Petroleum Industry Act had enhanced investor confidence by eliminating discretionary allocation of oil blocks and replacing it with a transparent competitive process. He urged prospective investors to treat petroleum licences as development opportunities rather than status symbols.
“These licenses shouldn’t be trophies. Let the best win,” Lokpobiri said.
