Nigeria’s upstream oil and gas sector is regaining momentum. Fresh reforms have attracted $18.2 billion in Field Development Plans (FDPs) for 2025, while crude oil losses have fallen to their lowest level in over a decade.
The Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Gbenga Komolafe, announced the progress on Tuesday at the Africa Oil Week in Accra, Ghana.
$18.2bn Commitments and 28 FDPs Approved
NUPRC approved 28 FDPs this year. Together, they will unlock 1.4 billion barrels of oil and 5.4 trillion cubic feet of gas. The projects are expected to deliver 591,000 barrels of oil per day and 2.1 billion standard cubic feet of gas per day.
“These FDPs, worth $18.2 billion, show that Nigeria is becoming one of the most attractive upstream investment hubs in the world,” Komolafe said.
Reforms Underpin Renewed Confidence
The reforms, guided by President Bola Tinubu’s Renewed Hope Agenda and the Petroleum Industry Act (PIA) of 2021, have created fiscal clarity and stronger governance. Since then, NUPRC has introduced 24 new regulations, with 19 already gazetted. In addition, a Regulatory Action Plan has dismantled entry barriers, simplified licensing, and boosted transparency.
As a result, investors have made landmark commitments. These include the $5 billion Final Investment Decision (FID) on the Bonga North deep offshore project, the $500 million Ubeta Gas Project, and expected FIDs on HI NAG Development, Ima Gas, Owowo Deep Offshore, and Preowei Fields. Moreover, President Tinubu has approved five major acquisition deals worth over $5 billion, creating new space for indigenous firms.
Stronger Licensing and Rig Activity
Licensing rounds have also recorded strong uptake. The 57 PPL awards in 2022, the 2022 Mini-Bid Round, and the 2024 Licensing Round all drew robust participation. Out of 31 blocks offered in 2024, investors acquired 27. Adjusted signature bonus rules made the process more competitive.
Rig activity reflects this renewed confidence. The number of active rigs jumped from only eight in 2021 to 43 by September 2025.
Oil Losses at Record Lows
Nigeria has also reduced crude oil theft and sabotage. Between January and July 2025, losses fell by 50.2 percent to 2.04 million barrels, averaging 9,600 barrels per day. This is the lowest level since 2009, when daily losses averaged 8,500 barrels.
The progress contrasts sharply with past years. Losses stood at 4.1 million barrels in 2024 and reached 37.6 million barrels in 2021, when sabotage drained 102,900 barrels per day.
Komolafe credited the improvement to tighter regulation, stronger surveillance, and new security partnerships.
According to Komolafe, these achievements reflect Nigeria’s entry into a new era of “clarity, competitiveness, and confidence.” Analysts argue that if this trajectory continues, Nigeria could raise production, attract billions in fresh investments, and consolidate its fight against crude theft.
