Market News

BY  Chijioke Ohuocha

ABUJA, Dec 1 (Reuters) – Nigeria’s upstream regulator on Monday announced the start of its 2025 oil licensing round, offering 50 blocks for bidding as Africa’s biggest crude producer seeks to boost output and attract new investment.

The Nigerian Upstream Petroleum Regulatory Commission said the round includes 15 onshore blocks, 19 in shallow waters, 15 frontier assets and one deepwater block.

“The Nigeria 2025 licensing round is expected to attract about $10 billion in investment and add up to 2 billion barrels of oil output over the next 10 years, with an estimated 400,000 barrels per day of production when fully operational,” NUPRC chief executive Gbenga Komolafe told reporters.

Komolafe said awardees from last year’s licensing round have paid signature bonuses and are in various stages of exploration and development, but noted that new barrels take time to materialise. “The fact that a licensing round was done last year does not immediately translate into additional barrels,” he said.

Nigeria, which relies on oil for most of its export earnings, is seeking to revive production after years of underinvestment and security challenges in its oil-rich Niger Delta.