By Mandy Park
The Federal Government has announced the 2026 oil licensing round, offering 40 oil blocks across land, shallow water and deepwater terrains as it intensifies efforts to attract fresh investments into Nigeria’s upstream petroleum sector.
The licensing exercise is being conducted by the Nigerian Upstream Petroleum Regulatory Commission, which is expected to provide opportunities for investors to participate in the development of the country’s hydrocarbon resources.
The development came as the Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, disclosed that Nigeria’s crude oil and condensate production had risen to 1.82 million barrels per day.
Lokpobiri, who disclosed this on Tuesday in Abuja, said the figure represented an increase of more than 80 per cent from the production level recorded when the President Bola Tinubu-led administration assumed office in 2023.
The minister said the latest production figures were based on data submitted to his office on Monday.
According to him, the increase in output was being driven by a significant rise in drilling activities across the country, with more than 73 rigs currently active.
He said the increase in drilling activities demonstrated growing confidence in Nigeria’s upstream sector and the government’s ongoing efforts to create a more attractive environment for investors.
The minister’s disclosure came against the backdrop of renewed efforts by the government and the NUPRC to increase oil and gas production, boost reserves and unlock investments in the upstream industry.
The NUPRC also disclosed that it had approved 120 Field Development Plans since 2024, representing about $47.6bn in capital commitments.
The approvals are expected to facilitate the development of new oil and gas fields, increase production and create additional opportunities for local participation and employment across the petroleum value chain.
The commission has, in recent years, intensified efforts to streamline regulatory processes and encourage investment following the enactment of the Petroleum Industry Act.
The latest licensing round is therefore expected to further expand exploration and production activities, particularly in areas that have remained underdeveloped.
The government has repeatedly identified increased crude oil production as critical to improving government revenues, strengthening foreign exchange inflows and supporting economic growth.
However, industry stakeholders have continued to call for greater regulatory certainty, improved security in oil-producing areas, better infrastructure and a more competitive fiscal environment to sustain the investment required to grow production.
The 2026 licensing round is expected to provide another opportunity for both indigenous and international investors to participate in Nigeria’s upstream oil and gas industry.
