On Thursday, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) announced plans to reactivate all dormant oil fields.
It also announced a plan to fast-track regulatory approvals to enhance operational efficiencies across the upstream value chain.
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The Commission Chief Executive, Gbenga Komolafe, disclosed this at the maiden conference of the Energy Correspondents Association of Nigeria (ECAN) held in Abuja on Thursday.
Mr Komolafe said the move is to increase production to 2.5 million barrels per day (bpd) by 2026.
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The event, themed “Four Years of the Petroleum Industry Act (PIA): Achievements, Gaps and the Way Ahead,” brought together industry leaders and stakeholders to assess progress and discuss future challenges of the PIA.
Dormant fields are oil fields that are not currently producing oil, either due to a lack of investment, maintenance, or other operational issues. These fields may have been producing oil in the past, but have been shut down or abandoned.
“Through our Project One Million Barrels Initiative, launched in 2024, Nigeria is actively ramping up crude oil production by reactivating dormant fields, fast-tracking regulatory approvals, and enhancing operational efficiencies across the upstream value chain,” Mr Komolafe said.
“With a clear target of increasing production to 2.5 million bpd by 2026, the initiative has already demonstrated strong momentum with current unreconciled daily production averaging 1.7 – 1.83 million bpd.”
Mr Komolafe, represented by Kingston Chikwendu, head of regulation & statutory compliance at the NUPRC, added that there are new frontier opportunities in onshore, shallow water and deep offshore blocks, especially in underexplored basins, enabled by its new licensing rounds regime.
“There are also other vast and compelling transformative opportunities, particularly in natural gas development, gas-to-power initiatives, Liquefied Natural Gas (LNG) projects, FLNGs and Compressed Natural Gas (CNG) transportation infrastructure, aimed at enhancing both export capacity and domestic energy supply.
“Equally crucial is the protection and optimisation of national hydrocarbon assets,” he said.
He noted that the approval of 37 new evacuation routes, coupled with intensified collaboration with national security agencies, has significantly curtailed crude theft and enhanced accountability across the industry.
At the same time, he said the enforcement of the Domestic Crude Supply Obligation (DCSO) is securing consistent feedstock to local refineries, strengthening Nigeria’s internal supply chains and building long-term economic resilience.
Mr Komolafe emphasised that Nigeria’s oil and gas industry, while full of opportunities, faces several challenges that cannot be overlooked.
“Among these are price volatility, regulatory uncertainties and infrastructure gaps,” he said.
Despite the challenges that Nigeria faces, he said Nigeria remains a prime destination for energy investments, offering vast opportunities for growth and development.
“Key sectors such as natural gas development, the exploration of frontier basins, and the advancement of clean energy technologies present immense potential for both regional and international investors,” he stated.
Through continued investment in natural gas, critical minerals, and youth engagement, he said, Nigeria has the potential to not only meet its own energy needs but also contribute significantly to global renewable energy goals.
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“While challenges such as infrastructure deficits and investment apathy, fuelled by the global energy transition and environmental concerns, still exist, they are not insurmountable. With well-informed strategies and robust collaboration across local and regional stakeholders, these obstacles can be effectively addressed.
“In line with this, our forward agenda includes: sustaining competitive licensing rounds, accelerating frontier basin exploration; fast-tracking the reactivation of shut-in and dormant assets; advancing the 1MMBPD initiative; expanding evacuation infrastructure to secure production volumes,” he said.
