Nigeria attracts indigenous and international interest in offshore and onshore oil blocks auction

Nigeria’s Federal Government has witnessed a surge in interest from both indigenous companies and International Oil Companies (IOCs) bidding for the 12 onshore and seven deep offshore blocks recently offered for sale.

According to the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), numerous firms are actively reviewing the stringent requirements set forth by the regulatory body to qualify for the bid.

The Petroleum Technology Association of Nigeria (PETAN), representing Nigerian Indigenous Technical Oilfield Service Companies, has expressed its members’ keen interest in participating in the bidding process.

PETAN Chairman, Wole Ogunsanya, highlighted their diligent assessment of available fields to determine their viability for potential investment.

Top company officials, speaking anonymously due to confidentiality concerns, disclosed that they have initiated collaboration with both local and international consultants to prepare for the bidding process, emphasizing their commitment to securing these coveted oil blocks.

NUPRC CEO, Gbenga Komolafe, confirmed the substantial interest from potential bidders, citing the ongoing Offshore Technology Conference (OTC) 2024 as a pivotal platform to attract investors.

Komolafe underscored Nigeria’s readiness for business, echoing President Bola Ahmed Tinubu’s commitment to fostering a conducive investment environment in the oil and gas sector.

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The bidding process, aligned with the goals of the Petroleum Industry Act (PIA), aims to enhance investment and optimize hydrocarbon resource development. Notably, the traditional front-entry signature bonus has been significantly reduced, encouraging investors to channel resources into field development.

The assets under consideration have played a pivotal role in Nigeria’s hydrocarbon production, with estimated reserves contributing substantially to the nation’s energy resources.

NUPRC’s comprehensive report underscores the strategic importance of these assets in advancing Nigeria’s oil and gas sector.

At the ongoing OTC 2024, Nigeria’s pavilion serves as a dedicated platform to showcase the country’s immense potential to foreign investors.

The presence of key government officials and industry leaders underscores Nigeria’s commitment to attracting investment and advancing its energy agenda.

With over 31,000 energy professionals in attendance, OTC 2024 provides a dynamic forum for networking, knowledge sharing, and fostering strategic partnerships.

Nigeria’s robust participation in the event signals its determination to leverage global opportunities and drive sustainable growth in the oil and gas sector.