Nigeria’s oil reserves, estimated to be worth $3.5 trillion, are attracting significant interest as the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) announced 25 successful bidders in the 2024 oil licensing round. The announcement was made by NUPRC’s Chief Executive Officer, Gbenga Komolafe, at the Licensing Round Commercial Bid Conference in Lagos on Wednesday.Thank you for reading this post, don’t forget to subscribe!
The competitive bidding process resulted in the award of key oil and gas licenses, marking a major step toward unlocking Nigeria’s vast hydrocarbon potential. Among the successful bidders were Sifax and Royal Gate Consortium, which secured PPL 300-DO and PPL 302-DO, respectively, after being the sole bidders in these categories. Oceangate Engineering Oil and Gas Ltd. also won the PPL 302-DO.
In a closely contested bidding process for PPL 303-DO, MRS Oil and Gas Company Ltd. emerged victorious, overcoming NNPC Exploration and Production Ltd. Homeland Integrated Offshore Services Ltd. won PPL 304-DO, surpassing Sifax and Royal Gate Consortium.
Hamilcar Oil and Gas Consortium claimed the PPL 305-DO bid over NNPC E&P, while BISWAL Oil and Gas Ltd. triumphed in the PPL 306-DO bid against NNPC E&P Ltd. Other notable winners include Petroli Energy Marketing and Supply Ltd. for PPL 269, and Sahara Deepwater Resources Ltd., which secured PPL 270 and PPL 271 licenses.
TotalEnergies clinched the PPL 2000/2001 category with 126 points, narrowly defeating Star Deepwater Petroleum Ltd., which scored 125 points. Additional licenses, such as PPLs 2002, 2003, 2004, 2005, and 2006, were awarded to BISWAL Oil and Gas, First E&P Development Company, Dewayles International Ltd., Applefield Oil and Gas Ltd., and First E&P Development Company Ltd., respectively, after being the sole bidders in their categories.
PPLs 2007, 2008, and 3007 were awarded to R28 Holdings Ltd., Tulcan Energy E&P Company Ltd., and Oceangate Engineering Oil and Gas Ltd. Other licenses, including PPL 2009 and PPLs 3011, 3012, 3015, 3016, and 3017, went to companies like Broron Energy Ltd., R28 Holdings, Tulcan Energy E&P, Panout Oil and Gas, Hakilat Oil and Gas Consortium Ltd., and Applefield Oil and Gas.
Komolafe also confirmed that NUPRC will launch another oil licensing round in 2025. He emphasized that making licensing rounds an annual event is vital for boosting oil production and maintaining Nigeria’s leadership in global energy markets.
“While we celebrate our successes, we must remain vigilant in addressing the challenges ahead,” Komolafe said. “Declining production levels and intensified global competition require strategic action. The Petroleum Industry Act provides a unique opportunity to transform the sector, attract investments, and establish Nigeria as a global energy powerhouse.”
The CEO further disclosed that the 2025 licensing round will focus on developing discovered and undeveloped fields, with an emphasis on natural gas to support Nigeria’s commitment to achieving the UN Sustainable Development Goals.
NUPRC is also prioritizing efforts to restore investor confidence by aligning its activities with the Petroleum Industry Act’s provisions. The regulator has already begun activating the ‘drill or drop’ provisions of the Act, aiming to recover idle assets and encourage exploration of untapped resources.
“As we move forward, we are engaging with the industry to ensure that underutilized assets are brought into active exploration,” Komolafe added. “This is part of our commitment to enhancing energy security and driving the sector’s growth.”
SOURCE: Naija247News