PETAN, oil majors commit to Nigeria’s 1mn bpd additional output drive

The Petroleum Technology Association of Nigeria (PETAN), together with major international oil companies Shell (LON: SHEL), TotalEnergies (EPA: TTE) and ExxonMobil (NYSE: XOM), has declared full support for Nigeria’s drive to boost crude oil production, The Nation (Nigeria) reported on November 18.

Their commitments were delivered last week at the Nigerian Upstream Petroleum Regulatory Commission’s (NUPRC) Project 1MMBOPD Additional Production Investment Forum in London. The forum is a high-level platform designed to attract investment aimed at raising the country’s crude oil output to 1 million barrels per day (bpd) of additional production.

Nigeria’s current output is between 1.7mn and 1.83mn bpd after years of underinvestment, theft, and pipeline disruptions, as recently reported by NewsBase. The 1MMBOPD project, launched in 2024, is jointly coordinated by the NUPRC and the Nigerian National Petroleum Company Limited (NNPCL).

The initiative focuses on reactivating dormant wells, streamlining field approvals and boosting operational efficiency. Achieving the target will depend on sustained investment inflows, better security in the Niger Delta and expanded export infrastructure.

The London investment forum brought together international investors, oil companies, and lawmakers to address funding constraints and discuss strategies for boosting Nigeria’s upstream capacity. The event gave investors direct access to senior decision-makers and highlighted a pipeline of commercially viable projects aimed at fostering transparent, efficient partnerships across the upstream sector.

At the forum, NUPRC chief executive Gbenga Komolafe announced that Nigeria’s 2025 oil licensing round would be officially launched on December 1, in line with the Petroleum Industry Act.

The new licensing round aims to unlock Nigeria’s undeveloped and fallow oil and gas fields, with a particular focus on gas-rich assets that can advance the country’s energy transition objectives. It will offer onshore, shallow-water and deepwater blocks with an intention to boost upstream output and commercialise previously discovered but untapped fields.

The upcoming round, aligned with efforts to deliver an additional 1mn bpd of output, is also expected to offer clearer rules and more attractive fiscal terms under the PIA framework.

During the forum, policymakers and senior government officials reaffirmed Abuja’s commitment to clearing operational bottlenecks and stressed that the PIA will remain stable and not be altered arbitrarily, providing a key reassurance for international investors, as reported by The Nation.