Gas
Nigeria targets oil expansion amid investment push
Industry experts note that achieving Nigeria's goal of three million barrels per day requires fresh capital and improved security.
Key points
- The NUPRC has announced a 2026 licensing round offering 40 blocks across various terrains.
- Annual upstream investment fell to about $2 billion from $26 billion in 2014, according to NUPRC data.
- Experts emphasize that robust pipeline protection and clear regulations are vital for restoring investor confidence.
What happened
Nigeria is pursuing a target of three million barrels of oil daily by 2030, alongside an output goal of 12 billion cubic feet of gas. The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) is leading this push through a planned 2026 licensing round. According to Daily Trust reporting, this initiative will offer 40 blocks across deepwater, shallow-water and onshore locations to prospective bidders.
NUPRC Chief Executive Oritsemeyiwa Eyesan stated that global upstream capital is highly competitive, requiring predictable rules and reliable geological data. The commission previously noted that annual sector investments dropped to approximately $2 billion, compared with about $26 billion in 2014. Officials believe that appropriate regulatory incentives, particularly for offshore projects, could unlock up to $50 billion in new commitments.
Why it matters
Fuel exports account for 85.9 percent of merchandise exports in Nigeria, according to 2025 World Bank figures. Attracting capital into both frontier areas and mature fields is therefore critical for economic stability and government revenues. Stakeholders emphasize that secure transport infrastructure remains essential to protect export volumes and lower operational risks.
Daily Trust reported that security operations by Tantita Security Services Nigeria Limited, led by High Chief Government Oweizide Ekpemupolo, have helped curb vandalism and oil theft in the Niger Delta. Industry participants argue that safeguarding transport routes allows operators to plan production effectively and meets growing commercial expectations.
What comes next
Successful implementation of the 2026 licensing round will depend on transparent award procedures and strict compliance with financial obligations, such as signature bonuses. Regulators and operators must also focus on building technical capabilities in subsurface exploration and digital technologies to support complex offshore and mature field developments.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Gas is the flexible backbone of many grids and the designated transition fuel in many national plans, from LNG trade to domestic LPG and CNG. Supply security and pricing drive both power reliability and emissions.
72.9% of electricity in Nigeria came from gas in 2024Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
