Nigeria Fast-Tracks Idle Oil Wells as NUPRC Approves PEL No. 5 for SeaSeis Partnership
Nigeria is fast-tracking efforts to boost its oil production as crude prices hover near $100 a barrel. The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has significantly reduced approval times for reviving idle wells from weeks to mere hours, providing a major incentive for local and international oil companies to resume operations. The move comes as Africa’s largest oil producers aim to capitalize on growing global demand amid disruptions in the Middle East.
In a related development, NUPRC signed a three-year Petroleum Exploration Licence (PEL No. 5) with SeaSeis Geophysical Limited and its partner TGS. The agreement authorizes the acquisition and processing of new 3D seismic and gravity data across 11,700 square kilometers offshore in the eastern Niger Delta. The licence also allows the partnership to issue data-use permits, with revenues shared between the Commission and SeaSeis, reinforcing a data-driven approach to exploration.
Officials noted that reopening old wells is far more cost-effective than drilling new ones. Repairing suspended wells can bring oil to the surface in about four weeks, compared to years of planning for new projects. Nigeria’s oil output has struggled to meet its targets, falling to 1.31 million barrels per day in February, the lowest level in 17 months, largely due to maintenance at Shell Plc’s 225,000 bpd facility. The regulator has already approved 500 permits this year for companies such as Heirs Energy and Seplat Energy to revive dormant wells.
NUPRC Chief Executive Oritsemeyiwa Eyesan emphasized that the PEL No. 5 initiative underscores the importance of partnerships and reliable data in achieving Nigeria’s production and reserve growth targets. “Exploration is fundamentally driven by confidence in data and processes,” Eyesan said, highlighting that transparent, non-exclusive licensing fosters long-term value creation in the sector.
SeaSeis Managing Director Goke Adeniyi described PEL No. 5 as the company’s largest project in Africa, citing the eastern Niger Delta’s geological complexity and rich prospects. Using advanced TGS GeoStreamer technology, the partnership aims to provide high-fidelity 3D seismic data, enabling operators to evaluate hydrocarbon prospects with greater confidence. Industry observers view this as a strategic step toward restoring Nigeria’s oil production to pre-decline levels and maximizing revenue amid surging global oil prices.
source: Leadership