NUPRC urges new license holders to support Nigeria’s 2mbpd oil production target

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has called on newly awarded Petroleum Prospecting Licence (PPL) holders to expedite the development of their assets. This push is crucial for supporting the Federal Government's ambitious target of boosting crude oil production to two million barrels per day by 2027. During a signing ceremony for the second batch of winners from the 2022/2023 Mini Bid Round and the 2024 Licensing Round in Abuja, NUPRC Chief Executive Mrs. Oritsemeyiwa Eyesan emphasized that these licenses are intended to stimulate exploration, attract investment, and accelerate the development of Nigeria's hydrocarbon resources. This initiative directly aligns with the government's strategic objective to reach a long-term production goal of three million barrels per day by 2030. Eyesan urged the new licensees to diligently execute their approved work programs, meet their financial commitments, and adhere strictly to the provisions of the Petroleum Industry Act (PIA), applicable regulations, and contractual agreements. She also stressed the importance of maintaining the highest standards of health, safety, environmental protection, and responsible engagement with host communities, deeming it essential for sustainable operations. Engr. Enorense Amadasu, Executive Commissioner for Development and Production, echoed these sentiments, urging awardees to strictly follow their work programs. He noted that the NUPRC is actively working to speed up permit approvals to enhance the ease of doing business in Nigeria's upstream petroleum sector and assured licensees of the commission's support. Barr. Olayemi Adeboyejo, Commission Secretary and Legal Adviser, issued a stern warning, reminding companies that failure to develop their assets could lead to license revocation under the "drill or drop" policy of the PIA. She also advised prompt establishment of Host Community Development Trusts (HCDTs) and encouraged the use of alternative dispute resolution mechanisms to foster harmonious community relations.

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As licensees, you are expected to execute your approved work programmes diligently, honour your financial commitments, comply fully with the provisions of the PIA, the applicable regulations and these contractual documents.