… Oil Block Investors To Begin Submission Of Technical, Commercial Bids
The Commission Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Gbenga Komolafe, has assured investors that it is conducting the 2024 licencing round for its oil blocks transparently in line with Extractive Industry Transparency Initiative (EITI) recommendation.
Komolafe also revealed that the licencing round, which began in May, has reached the stage of submission of technical and commercial bids by bidders.
The NUPRC Boss made the disclosure during an investor call at the 2024 Africa Oil Week Conference in Cape Town, South Africa.
Komolafe described the 2024 Licensing Round as an unprecedented opportunity to unlock Nigeria’s vast hydrocarbon potential, attract investment, and propel Africa towards greater economic prosperity.
NewsNGR reported that in line with Section 73 of the Petroleum Industry Act 2021, the commission offered 12 new oil blocks and 7 old blocks to investors during the Offshore Technology Conference in Houston, Texas, USA.
Komolafe told investors that the NUPRC is empowered under section 7(t) of the PIA to conduct periodic licensing rounds to award Petroleum Prospecting Licenses (PPLs) and Petroleum Mining Leases (PMLs) to investors.
The CCE said, “Registration and submission of pre-qualification documents have been concluded. Pre-Bid Conference has been held. Evaluation of submissions and notification of the pre-qualified have also been carried out. All these events were done in accordance with stipulated schedule further buttressing our transparency mantra. The next stage is the submission of technical and commercial bids.
“The Licencing Round is indeed expected to be a huge success for Nigeria and is a big step towards growing the nation’s oil and gas reserves through aggressive exploration and development efforts, boosting production, expanding opportunities for gas utilisation and end to end development across the upstream value chain.
“The Licencing Round presents us with the opportunity to reinforce Nigeria’s commitment to openness and transparency in line with the principles of the Extractive Industry Transparency Initiative (EITI).”
He explained that the successes recorded in the oil and gas industry are a result of the three Executive Orders signed by the Minister of Petroleum Resources, President Bola Ahmed Tinubu on February 28, 2024.
Komolafe told investors that the Executive Orders were aimed at improving the efficiency and attractiveness of Nigeria’s oil and gas sector and generously targeted to incentivise oil and gas development and introduced measures to balance the implementation of Nigerian Oil and Gas Industry Content Development Act, 2010.
“The Executive Orders also include directives on reduction of contracting costs and timelines to enhance global competitiveness of our oil and gas industry and achieving a higher rate of return on oil and gas investments,” he said.
The NUPRC boss said the commission introduced comprehensive reforms and developed regulatory framework aimed at modernizing licensing processes, enhancing stakeholder engagement, and ensuring environmental sustainability.
He maintained that all of the commission’s regulatory oversight is conducted in keeping with the provisions of the PIA.