More Investments Required To Achieve 3mbpd Oil Production Target -Engr. Komolafe
By Sunday Etuka, Abuja
The Commission Chief Executive (CCE), Nigerian Upstream Regulatory Commission (NUPRC), Engr. Gbenga Komolafe, has said that continuous investments would be required to achieve the ambitious national oil production target of 3 million barrels per day.
Engr. Komolafe who spoke on Thursday at the 2025 Africa Energies Summit in London, United Kingdom, explained that continuous Investments was necessary to unlock new basins and mature frontier fields to secure future energy needs that would match the nation’s fast-growing population.
Speaking on a topic, “Igniting Nigeria and Africa’s Energy Future: Evolving Landscapes, Challenges, and Transformative Opportunities,” the NUPRC boss said through the Presidential Executive Orders and the proactive stance of the Commission, Nigeria has redefined itself not only as a land of vast hydrocarbon potential but as a destination where opportunity meets ease of doing business, certainty, and investor value.
According to him, the transformative impact of the reforms in the sector has been remarkable, as the sector has seen a significant surge in investment, resulting in increased oil production.
“New investors, empowered by clarity and quality, have entered our sector, oil and gas reserves and production have increased, while rig counts have surged from 8 in 2021 to 36 currently, with projections to reach 50 by the end of the year.
“This momentum reflects a bold new chapter, one driven by ambition, resilience, and opportunity. With 210.54 trillion cubic feet of natural gas reserves, the largest in Africa, and 37.28 billion barrels of crude oil reserves, Nigeria holds enormous reserves”, he said.
The CCE disclosed that since the launch of Project 1 Million Barrels per Day (1MMBOPD), Nigeria has achieved a notable increase in daily oil production, recently reaching 1.78 million barrels per day, up from a baseline of 1.46 million barrels per day in October 2024.
To sustain the momentum, he said the Commission is fast-tracking rig licensing and is set to introduce digital tools aimed at optimizing rig utilisation and securing long-term contracts.
He said the NUPRC is also firmly committed to the timely issuance of field development plan approvals and other regulatory instruments essential to accelerating the development of Nigeria’s hydrocarbon resources.
Engr. Komolafe also mentioned that Commission’s current drive on pipeline security and the development of alternative crude evacuation infrastructure was to ensure that there are no disruptions to production and that the produced crude oil reaches the desired destination intact.
However, he noted that the nation’s current production levels still fall well below her true production potential. Saying, that “the question is no longer about whether the resources exist, but whether we can unlock them efficiently, sustainably, and profitably.”
While highlighting some of the investment opportunities in the sector to the investors and partners, the CCE said the Commission’s drive to tackle production and evacuation challenges has presented several opportunities in a wide range of upstream activities, including reviving shut-in wells, executing workover campaigns, deploying enhanced oil recovery techniques in mature fields, and advancing new development drilling across both brownfields and underdeveloped assets.
“These efforts must be supported by robust reservoir management and real-time production optimisation.
“Also, to match this scale of activity, Nigeria requires more modular early production facilities, expanded central processing units, and state-of-the-art gas processing plants.
“Indeed, the Project 1 Million Barrels per Day is a transformative initiative: unlocking value to a diverse range of stakeholders, enabling IOCs and Indigenous E&P companies to boost production and unlock new reserves, creating strong demand for rig owners and production facility vendors, opening new frontiers for service providers, engineers, and consultants through expanded project opportunities, and enhancing capacity for midstream and gas processing firms.
“The infrastructure deficit (pipelines, oil and gas processing facilities and terminals) across our exploration and production hubs presents an opportunity for strategic partnerships to develop pipelines, processing facilities, and logistics networks that will unlock stranded reserves and create enduring value.
“These opportunities offer global financiers and investors high-yield, asset-backed prospects in a rapidly growing market, and we warmly welcome innovative funding solutions, such as affordable financing and collaborative investment models, to unlock capital and drive sustained growth in Nigeria’s upstream sector,” he said.
The NUPRC boss stated that as the Commission focus on ramping up production and unlocking dormant fields through the Project 1 Million Barrels per Day, its also rigorously implementing the Presidential Executive Orders 40 (Tax Incentives, Exemption, Remission etc.), 41 (Presidential Directive on Local Content Compliance Requirements) and 42 (Reduction of Contracting Costs and Timelines).
“The orders are aimed at enhancing ease of doing business, stimulating non-associated gas (NAG) development, reducing contracting cycles, eliminating operational bottlenecks, streamlining Nigerian Content requirements, and driving down production costs to maximise return on investment. In doing so, we are not just weathering the storm of global uncertainty, we are positioning Nigeria as a resilient, reform-driven, and investment-ready destination at the heart of Africa’s energy renaissance,” Engr. Komolafe said.
He noted that there are also other vast and compelling transformative opportunities, particularly in natural gas development, as Nigeria positions gas as a strategic transitional fuel.
“Backed by bold initiatives such as the Decade of Gas, the Presidential CNG Initiative and the Nigerian Gas Flare Commercialisation Programme, Nigeria is establishing a transparent, competitive, and investor-friendly gas market to harness its vast natural gas resources, estimated to exceed 600 trillion cubic feet (upside potential).
“NUPRC is spearheading the efforts to unlock this huge potential to accelerate industrialisation, expand energy access, and establish Nigeria as a pivotal player in the global energy transition.”
According to him, the above narratives highlight the vast opportunities that abound in Nigeria’s upstream oil and gas sector, offering immense potential for both existing investors and new entrants seeking to participate in our dynamic and promising energy landscape.
Additionally, he said that the Nigeria’s youthful population presents a unique opportunity to drive innovation and workforce development in the exploration of frontier basins as well as the advancement of decarbonisation technologies in the oil and gas sector.
Engr. Komolafe said the Commission recognises that regional collaboration was essential to addressing the challenges in Africa’s oil and gas sector, such as fragmented regulations and infrastructure gaps, consequently, leading the collaborative efforts by initiating and coordinating the efforts of the African Petroleum Regulatory Forum (AFRIPERF) to harmonise regulations, present unified voice for Africa within the global arena, encourage cross-border investments, and support shared infrastructure, all aimed at building a more resilient and competitive oil and gas industry in Africa.
He said as a key voice for Africa’s leading hydrocarbon producer, the NUPRC also supports the Africa Energy Bank by providing technical and regulatory expertise to ensure it delivers targeted financing for oil, gas, and energy transition projects, advancing sustainable development and energy security across the continent.
