Four years after its establishment, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced sweeping progress in the country’s oil and gas sector — including a 762 per cent rise in rig count, billions of dollars in new investments, and major transparency reforms under the Petroleum Industry Act (PIA) framework.
In a statement released on Sunday by its Head of Media and Strategic Communication, Eniola Akinkuotu, the Commission said the results reflect “restored investor confidence, improved transparency, and renewed exploration activity” driven by regulatory stability and digital reforms.
According to the NUPRC, Nigeria’s rig count jumped from eight in 2021 to 69 as of October 2025, with 40 rigs currently active. The Commission described this leap as a “clear testament to renewed investor interest in Nigeria’s upstream oil and gas industry.”
“The latest rig count of 69 — comprising 40 active rigs, 8 on standby, 5 on warm stack, 4 on cold stack, and 12 in transit — represents a 762.5 per cent increase in barely four years,” the statement read.
“This shows that Nigeria is once again open for business, with the upstream environment attracting serious exploration and development activity.”
The agency credited the surge to reforms under the PIA, tighter oversight of dormant fields, and the government’s policy alignment with President Bola Tinubu’s “Nigeria is ready for business” agenda.
Revenue and Investments Soar
The NUPRC disclosed that it exceeded its revenue targets for three consecutive years — outperforming benchmarks by 18.3% in 2022, 14.65% in 2023, and 84.2% in 2024.
Between 2024 and 2025, it approved 79 Field Development Plans (FDPs) valued at $39.98 billion, unlocking new projects and foreign capital inflows. Of this total, $20.55bn came in 2024, while $19.43bn was recorded in 2025 to date.
Nigeria’s crude oil production has also improved, now averaging 1.65 million barrels per day, with the Commission’s Project 1mbopd Initiative targeting 2.5 million barrels per day by 2027.
Transparency and Digital Reforms
One of the Commission’s landmark reforms is the digitalisation of licensing rounds, which has been hailed by the Nigeria Extractive Industries Transparency Initiative (NEITI) as the most transparent in the country’s history.
The regulator said the fully digital, interference-free process has eliminated political influence and restored credibility to oil block bidding.
It also rolled out 24 forward-thinking regulations, 19 of which have been gazetted, to enhance transparency, improve accountability, and attract investment.
Curbing Crude Theft and Reviving Dormant Fields
Crude oil theft — a long-standing drain on national revenues — has reportedly fallen by 90 per cent, from 102,900 barrels per day in 2021 to 9,600 barrels per day as of September 2025. The drop was attributed to enhanced security coordination with the military and private security firms, alongside enforcement of new Upstream Measurement and Advanced Cargo Declaration regulations.
In line with the PIA, the Commission also implemented a “Drill or Drop” policy, compelling idle operators to develop or relinquish their licenses. This has revived interest in over 400 dormant oil fields, ensuring optimal use of national reserves.
Host Community Development and Gas Flaring
Through the Host Community Development Trusts, the Commission said over ₦358.67 billion (₦122.34bn in naira and $168.91m in dollar equivalents) has been remitted to oil-producing communities, funding more than 536 projects in education, healthcare, and infrastructure.
The NUPRC also reported progress under the Nigerian Gas Flare Commercialisation Programme, which aims to attract $2.5 billion in new investments to eliminate gas flaring and support Nigeria’s energy transition goals.
Regional Leadership and Outlook
Beyond Nigeria’s borders, the Commission has spearheaded the creation of the African Petroleum Regulators Forum, a 16-member body designed to harmonise policies across the continent and strengthen Africa’s influence in global energy governance.
While challenges remain in meeting production targets and sustaining investor momentum, the NUPRC’s four-year scorecard underscores the transformative impact of the PIA — a law that has redefined Nigeria’s upstream regulatory landscape.
“Under the leadership of Gbenga Komolafe, the Commission has continued to demonstrate regulatory innovation, strengthen investor confidence, and position Nigeria as a credible voice in Africa’s hydrocarbon development,” the statement concluded.