The Nigerian Upstream Petroleum Regulatory Commission (NUPRC), has expressed determination to conduct the 2024 oil bid round transparently. 

The Commission Chief Executive Officer, Mr Gbenga Komolafe, who hinted at this on Tuesday during the 2024 Pre Oil Bid-round Conference in Lagos, disclosed Nigeria is an attractive jurisdiction for investment, adding that the country has a stable regime that is driven by laws. 

He added “Nigeria is a stable political environment that encourages businesses in a conducive atmosphere. 

“The 2024 bidding round is meant for investors with financial capacity and technical competence. 

“In the past, the award of oil blocks culminated in the non-development of over 90 per cent of marginal fields, thus denying the federal government of reaping the intended benefits because such awards were not based on technical and financial considerations,” he said. 

The NUPRC boss said that the recent Presidential Executive Orders issued, were aimed at improving the efficiency and attractiveness of Nigeria’s oil and gas sector. 

He said that it would culminate in further increasing the nation’s oil and gas reserves. 

He added that as of April this year, estimates showed that Nigeria’s oil reserve was at 37.5 Billion barrels of Crude Oil and Condensate Reserves and 209.26 trillion Cubic Feet of Natural Gas Reserves. 

He said that the commission had engaged in several roadshows held in Houston U.S., Miami, London and Paris among others. 

“We are not just a regulator, but a business enabler”, he urged stakeholders to participate in the exercise. 

“It will enable us an unprecedented opportunity to unlock Nigeria’s vast hydrocarbon potential, attract investment and propel our nation towards greater economic prosperity and shared prosperity,” he stated. 

He said each bloc has been chosen for its potential to bolster the nation’s reserve and economic posterity. 

Komolafe said the total no of blocs was 12 at the planning stage, but they were later able to gather data to offer more oil blocs, so it is increasing the number of blocs which he declined to reveal. 

He said the details “would be made available on the portal”. 

The NUPRC boss said the commission has issued a licensing round guideline and published the grand plan, declaring that the 100-dollar million signature bonus is within the global standard. 

Komolafe said the blocs on offer have extensive 2D and 3D seismic coverage including logic and analog data. 

According to him, the objectives of the exercise are; to grow oil, and gas reserves, boost production, enhance Nigerian content development and attract investment among others. 

He told prospective investors that notwithstanding the progression of the energy transition, fossil fuel will continue to play a key role in the energy provider globally. 

The NUPRC boss said there are plans to also conclude the 2022 bloc auction alongside the 2024 oil bid round. It had offered seven oil blocs in 2022. 

He claimed that the investors spend less on exploration and production to produce oil in Nigeria because of the depth of the wells. 

According to him, the bid round is scheduled to last for nine months, with details on the portal. 

He hopes that investors will choose Nigeria because; the nation has a stable democracy; the location is close to a coastline of 900 meters. 

Nigeria has ease of access to the European, and American markets; an Attractive fiscal regime; an effective regulatory regime; the presence of IOCs with confidence in Nigeria; ease of discovery and high productivity, among others. 

The Executive Director, Schlumberger, Dr Nosa Omorodion said, “This is an opportunity for NUPRC to demonstrate that Nigeria is ready for business.” 

He said integrity is important and ensuring that things are done according to the rules, adding that corporate governance and competency are key. 

He said the new bloc that would be placed should be published and made open for perspectives investors to see. 

Mr Hans Nijkamp, the Gas and Commercial Director, Shell E&P Africa said: “Shell has been in Nigeria since 1937 and we are ready to stay for a very long time. 

Noting that the deep water is the company’s ‘playground’ for the future, Hans said Nigeria is currently on track saying that the fiscal regulatory framework makes it look like Nigeria is already in the future.