…insists on compliance with PIA, environmental standards
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has warned newly awarded holders of Petroleum Prospecting Licences (PPLs) to commence development of their assets without delay or risk forfeiting the licences under the “drill or drop” provisions of the Petroleum Industry Act (PIA).Meet Andrew Burnham, UK 59th Prime Minister
The Commission also charged the licence holders to fulfil their obligations to host communities, comply strictly with the PIA and maintain the highest standards of health, safety and environmental protection as they begin operations.
The Commission Chief Executive, Mrs Oritsemeyiwa Eyesan, gave the charge in Abuja during the signing ceremony for the second batch of winners of the 2022/2023 Mini Bid Round, and the 2024 Licensing Round.
Eyesan noted that the new licence holders were expected to move swiftly to develop their assets in line with the Federal Government’s drive to ramp up crude oil production.
She said: “As licencees, 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.
“The Commission equally expects the highest standards of health, safety, environmental protection and responsible engagement with host communities.”
According to the NUPRC boss, the licences awarded under the 2022/2023 Mini Bid Round and the Nigeria 2024 Licensing Round were expected to stimulate exploration activities, attract fresh investments, accelerate the development of Nigeria’s hydrocarbon resources and boost the nation’s energy security.
Eyesan said the objectives align with the Federal Government’s target of increasing crude oil production to 2 million barrels per day by 2027 and 3 million barrels per day by 2030.
Also speaking, the Executive Commissioner, Development and Production, Engr. Enorense Amadasu, urged the successful bidders to faithfully implement their approved work programmes and honour their commitments.
He disclosed that the Commission had begun accelerating approvals for permits to improve the ease of doing business in the upstream petroleum sector.
“We are ready to give you full support and enable you to succeed,” Amadasu assured the awardees.
In his remarks, the Commission Secretary and Legal Adviser, Barrister Olayemi Adeboyejo, reminded the new operators that the Petroleum Industry Act provides for a “drill or drop” regime, warning that undeveloped assets could be withdrawn.
He urged them to establish their respective Host Community Development Trusts (HCDTs) without delay, stressing that compliance with the law would help foster peaceful relationships with host communities.
Adeboyejo also advised the companies to embrace alternative dispute resolution mechanisms instead of litigation in resolving disputes with operators and regulators.
The companies presented with Petroleum Prospecting Licences at the ceremony were Biswal Oil and Gas Ltd, Dewayles International Ltd, First E&P Development Co. Ltd, Panout Oil and Gas Ltd, R28 Holdings Ltd and Hakilat Oil and Gas Consortium.
Broron Energy Limited, Petroli Energy Marketing and Supply Limited, Sahara Deepwater Resources Limited and Tulcan Energy E&P had received their licences earlier on July 8, 2026.
