TotalEnergies Exploration and Production Company, MRS Oil and Gas Limited, Sahara Deepwater Resources Limited, and 20 other companies have secured the position of bidders for newly available oil blocks in the country.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) unveiled the bidders for no fewer than 25 oil blocks that are available for exploration and production.
31 oil blocks were offered for bidding while 25 were bid just as the remaining six were returned to the basket, according to the Commission Chief Executive, NUPRC, Engr. Gbenga Komolafe.
He spoke just as the commission stated that it has begun recovery of idle oil blocks while announcing a fresh oil licensing round for 2025.
At the 2022/23 mini bid and Nigeria 2024 Licensing Round Commercial Bid Conference held in Lagos, he explained that the bidding process was in line with Section 7(t) of the Petroleum Industry Act (PIA), which empowers the NUPRC to conduct periodic bidding rounds for the award of Petroleum Prospecting Licenses (PPLs) and Petroleum Mining Leases (PMLs).
At the end of the exercise, 25 winners emerged as bidders while 10 emerged as reserved bidders.
SIFAX & OceanGate won PPL 300-DO; Ocean Gate Engineering Oil and Gas Ltd won PPL 302-DO and PPL 3007; Homeland Integrated won PPL 304-DO; Hakilat Oil & Gas Consortium Ltd defeated NNPC E&P to clinch PPL 305-DO; BISWAL Oil & Gas Ltd also defeated NNPC E&P to win PPL 306-DO.
After having a tie, MRS Oil & Gas later defeated NNPC E&P to win PPL 303-DO.
Similarly, Petroli Energy Marketing and Supply Ltd got PPL 269; Sahara Deepwater Resources Ltd won both PPL 270 and PPL 271; Panout Oil & Gas beat TotalEnergies and three other bidders to secure PPL 300/301 CS. Panout also claimed PPL 3015.
In the same vein, TotalEnergies E&P won PPL 2000/2001 while Star Deepwater Petroleum Limited emerged as a reserved bidder.
As the sole bidder, BISWAL won PPL 2002; First E&P has PPL 2003 and PPL 2006; Deywayles International Limited secured PPL 2004; Applefield Oil & Gas got PPL 2005; R28 Holdings Ltd won PPL 2007 and PPL 3011; Tulcan Energy E&P won PPL 2008 and 3012; Broron Energy secured PPL 2009; Hakilat Oil & Gas Consortium Limited claimed PPL 3016; and Applefield Oil & Gas won PPL 3017.
Komolafe, in his presentation titled, “Unlocking Nigeria’s Energy Potential: A Licensing Round for the Future, stated that the assets held enormous potential for economic growth, energy security, and job creation.
The CE said the 2024 licensing round offers 24 carefully selected blocks spanning onshore, shallow water, and deep offshore terrains.
Complementing these are the seven deep offshore blocks from the 2022 Mini Bid Round, bringing the total to thirty-one (31) blocks.
He described Nigeria as the sole winner in the bidding process, saying the exercise has been conducted in line with global best practices.
“This is the best in the history of the nation that we could conduct a licensing round in a very transparent manner. We have set the standards that we will continue to improve upon,” he said.
According to him, the 2025 licensing round will focus on underexplored assets, fallow fields, and natural gas development as part of Nigeria’s commitment to the UN Sustainable Development Goals.
Komolafe said the NUPRC aims to make the licensing rounds an annual event to address challenges such as declining production and rising global competition.
The blocks for the 2025 bid round will be harvested from an idle assets recovery program known as ‘drill or drop,’ which the commission has commenced in line with the provision of the Petroleum Industry Act (PIA).
Komolafe said, “Declining production levels and increased global competition demand strategic action. Fortunately, the Petroleum Industry Act has given us a unique opportunity to transform the industry, attract investment, and position Nigeria as a leader.”
Following the completion of the bidding process, the next steps, he said, include block allocation and award, payment of signature bonuses, exploration and production, and environmental stewardship.
The speaker addressed distinguished investors, emphasizing that Nigeria is now ready to aggressively pursue exploration and development. He highlighted that the sector’s transformation, fueled by the favorable fiscal provisions of the PIA and the president.
