Oil
Nape urges increased exploration to halt Nigeria reserves decline
The Nigerian Association of Petroleum Explorationists has called for intensified exploration across frontier and mature basins to address depleting oil reserves.
Key points
- Nigeria's oil reserves have declined from approximately 39 billion barrels to 37 billion barrels.
- NAPE President Cecilia Ajayi advocated for fiscal and regulatory incentives to de-risk frontier exploration.
- Ajayi suggested adopting a licensing model similar to Ghana's, allowing technical evaluation before signature bonus payments.
What happened
Nigeria must urgently accelerate exploration in both frontier and mature basins to reverse declining hydrocarbon reserves and secure its long-term production future, according to the Nigerian Association of Petroleum Explorationists (NAPE).
Speaking at a strategic panel session during the 2026 NAEC Energy Conference in Lagos, NAPE President Mrs. Cecilia Ajayi stated that the country's oil reserves have dropped from about 39 billion barrels to 37 billion barrels. Energy Focus Report reported that she described sustained exploration as non-competitive without active reserve replacement.
Why it matters
Fuel exports accounted for 85.9 percent of Nigeria's merchandise exports in 2025, according to World Bank figures, underscoring the heavy reliance of the national economy on the petroleum sector. Ajayi warned that without aggressive exploration and the adoption of modern technology to recover bypassed oil in mature fields, the country risks further reserve erosion.
She urged regulators to reform the frontier licensing framework to attract investment. Citing Ghana's model, Ajayi recommended allowing investors to perform limited technical evaluations before committing to full financial obligations, such as signature bonus payments.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Crude benchmarks move budgets, currencies and inflation in producer and importer countries alike. For economies such as Nigeria, where fuels dominate exports, production and refining decisions move the whole economy.
85.9% of Nigeria’s merchandise exports were fuels in 2025Countries 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.
