The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has given holders of 22 petroleum prospecting licences (PPLs) 18 months to achieve first oil, warning that inactive blocks will be reclaimed.
The commission also expects the new licence holders to contribute 250,000 barrels per day to Nigeria’s crude oil production within five years.
NUPRC Chief Executive, Oritsemeyiwa Eyesan, disclosed this on Tuesday in Lagos during an onboarding workshop for the operators, saying the priority was to ensure they execute their minimum work programmes.
The licences were awarded during the 2022, 2023 and 2024 licensing rounds as part of efforts to raise Nigeria’s oil production to three million barrels per day by 2030.
Eyesan said more than half of the awardees were expected to achieve first oil within two years, while some could begin production within three years. The commission also expects operators to drill second wells within three to four years.
She warned that paying licence fees alone does not demonstrate the technical and commercial capacity required to develop oil assets. She said some previous awardees had struggled to progress after securing licences, with some dismantling the technical teams they assembled during bidding.
Read Also: 10-feared-dead-as-boat-capsizes-during-oil-spill-dispute-in-rivers
According to her, the commission will recover blocks that remain inactive beyond three years onshore and five years offshore. Operators unable to secure financing or technical partners should not expect automatic extensions.
Eyesan said the NUPRC would provide clearer guidelines, predictable processes and faster approvals to help operators overcome investment bottlenecks.
Meanwhile, the commission has reminded operators of the deadline for submitting their 2027 work programmes, which opened on October 15 and closes on November 16, 2026.
The commission’s senior programme and project management executive, Dr Cyril Efre, said operators who miss the deadline would face a N10 million penalty from November 17, alongside an additional N1 million for every day of default until submission.
He said the deadlines were established under the Nigerian Upstream Petroleum Commercial Regulations to allow sufficient time for reviewing and approving programmes before the new operating year begins on January 1.
Operators may seek approval to modify existing work programmes, including plans to drill additional wells, while emergency activities must be reported to the commission within 48 hours.
Efre added that similar penalties would apply to operators who fail to submit their half-year and full-year performance reports.
