Nigeria is on track to boost its crude oil output to 2.5 million barrels per day (mbpd) by 2026, according to the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). The commission said the target will be achieved through deepwater exploration, reactivation of dormant oil fields, and faster approvals for new projects. This was disclosed by NUPRC Chief Executive, Gbenga Komolafe, during his address at the 2025 PENGASSAN Energy and Labour Summit in Abuja.
Komolafe noted that despite global energy transition trends and the surge in low-carbon investments—reaching $2.1 trillion in 2024—hydrocarbons remain essential for meeting global energy demand, particularly in Africa and Asia. He added that Nigeria is pursuing a gas-focused decarbonisation strategy while working to maximize its oil resources. The country has already raised output from 1.46 mbpd in October 2024 to 1.8 mbpd this year.
Highlighting reforms under the Petroleum Industry Act (PIA) 2021 and recent executive orders, Komolafe said Nigeria has become more attractive to investors by cutting contracting cycles from 36 months to six months and offering competitive fiscal terms. He revealed that NUPRC is championing the “Project One Million Barrels Per Day” initiative, alongside a cluster and nodal development strategy to reduce costs and fast-track production. Approved deep offshore development plans could unlock over 810,000 barrels per day at peak capacity.
On marginal field licenses, Komolafe announced the completion of a technical review of awards due for renewal, in line with the PIA. He explained that the process was transparent and milestone-based, ensuring that only companies meeting the required performance criteria will have their licenses renewed. The final assessment report has been submitted to the Minister of State for Petroleum (Oil) for approval, and successful firms will be announced in the coming weeks.
Komolafe reaffirmed that the commission’s strategy, including reactivation of idle assets and enhanced oil recovery techniques, will drive Nigeria toward its ambitious production target. “With the current momentum, Nigeria is firmly on track to achieve 2.5 million barrels per day by 2026,” he said.
Source: punch