Mkpoikana Udoma
Port Harcourt — Nigeria’s upstream oil and gas industry is witnessing a strong revival as rig activity has surged from just eight rigs in 2021 to 70 active rigs in 2025, following a wave of regulatory reforms and renewed investor confidence, according to the Nigerian Upstream Petroleum Regulatory Commission, NUPRC.
Speaking at the 2025 World Energies Summit in London, the Commission Chief Executive, Engr. Gbenga Komolafe, said the remarkable increase in rig count, alongside 28 new Field Development Plans, FDPs, approved this year, is driving a fresh wave of exploration and production across Nigeria’s oil basins.
“Beyond the successes of our data acquisition campaigns and licensing rounds, every key metric on our performance dashboard reflects widening access and exceptional investor participation,” Komolafe said.
“Rig activity, for instance, has surged from just 8 in 2021 to 70 today, out of which 41 are drilling on site.”
He explained that the Commission’s proactive reforms have positioned Nigeria as a more competitive and transparent energy destination, with approved projects this year alone expected to deliver 600,000 barrels of oil per day and over 2 billion standard cubic feet of gas daily, backed by $18.2 billion in committed CAPEX.
“These investments are proof that Nigeria’s upstream sector is back on a growth trajectory and attracting the level of capital needed to sustain its position as a leading energy hub in Africa,” Komolafe added.
The NUPRC boss further credited the rise in investor confidence to the transparent and technology-driven licensing rounds, including the 2022 Petroleum Prospecting Licences, the Mini-Bid Round for Deep Offshore Blocks, and the 2024 Licensing Round, which earned praise from the Nigeria Extractive Industries Transparency Initiative, NEITI.
He also noted that Nigeria’s daily crude oil output has risen from 1.46 million barrels per day in October 2024 to around 1.8 million barrels per day in 2025, signaling recovery in production efficiency and operational stability.
“Major Final Investment Decisions, such as the $5 billion Bonga North and $500 million Ubeta Gas Project, underscore long-term investor confidence, with more projects expected soon,” Komolafe said.
According to him, the ongoing transformation in Nigeria’s upstream sector is part of the broader energy reform agenda under President Bola Tinubu’s administration, designed to unlock capital inflows and strengthen the country’s global competitiveness in a rapidly transitioning energy landscape.
Komolafe reaffirmed that Nigeria’s Decade of Gas initiative remains central to the country’s transition framework, ensuring that energy security and industrialisation go hand-in-hand with sustainability.
