UPSTREAM INVESTMENT: FG PUTS 40 OIL BLOCKS ON OFFER

The Federal Government has opened Nigeria’s 2026 oil licensing round, offering 40 blocks across land, shallow-water and deepwater terrains as it seeks fresh investment in the country’s upstream petroleum sector.

The Nigerian Upstream Petroleum Regulatory Commission announced the exercise through its Chief Executive Officer, Oritsemeyiwa Eyesan, during the commission’s fifth anniversary activities in Abuja.

The round followed approval by President Bola Tinubu and the Minister of Petroleum Resources.

40 BLOCKS ON OFFER

The blocks are open to investors with the technical competence, financial capacity and commitment to develop Nigeria’s petroleum resources.

NUPRC said the latest process would introduce stronger transparency requirements. Among the new measures is mandatory disclosure of the beneficial owners of bidders. The commission also said it would publish more information about the evaluation methodology and results.

COMPETITION FOR CAPITAL

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Eyesan said competition for upstream investment had become increasingly intense because investors now have several jurisdictions from which to choose.

She said Nigeria must therefore maintain clear rules, predictable processes and reliable data if it is to attract long-term capital.

The commission said previous licensing exercises conducted since the Petroleum Industry Act have generated substantial investment interest.

It also said the 2025 licensing round attracted 200 bids from 143 companies, with 31 companies emerging as winners of 37 blocks.

ValidViewNetwork reports that the announcement is significant, but the success of the licensing round will ultimately depend on the quality of investors attracted, the transparency of the award process and whether successful bidders develop the assets within agreed timelines.