Nigeria opens bidding for 50 oil and gas blocks in major energy push

Nigeria has launched the commercial bidding phase for 50 oil and gas blocks, marking one of the country’s biggest upstream licensing exercises in recent years as Africa’s largest oil producer seeks to attract fresh investment and increase crude production.

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) said 196 companies have been pre-qualified for the commercial stage of its delayed 2025 licensing round, with successful bidders to be selected through a competitive technical and financial evaluation.

The regulator said 143 companies submitted 200 commercial bids and will participate in the commercial bid conference in Abuja, where the next phase of the licensing process will take place.

Assets span Niger Delta and inland basins

The 50 assets include 34 oil and gas blocks in the resource-rich Niger Delta, comprising 16 onshore and 18 shallow-water blocks. The offering also includes one deepwater block and 15 additional blocks across three inland sedimentary basins.

According to the commission, winners will be determined using a weighted assessment that considers signature bonuses, work commitments, technical capability and performance guarantees, a process designed to attract financially strong and technically capable investors.

Overall, 286 companies applied during the prequalification stage, with 196 advancing to the technical and commercial bidding process after meeting regulatory requirements.

Nigeria seeks to strengthen energy output

The licensing round forms part of Nigeria’s broader strategy to revive upstream investment, expand exploration and strengthen long-term oil and gas production following years of underinvestment and declining output.

Nigeria remains Africa’s largest oil producer and holds the continent’s largest proven natural gas reserves. The petroleum industry remains the backbone of the economy, generating more than 85% of export earnings and approximately 65% of government revenue.

The country’s oil sector has shown signs of recovery in recent months, with daily crude production rebounding to nearly 1.7 million barrels per day, supported by improved security, operational reforms and renewed investor confidence.

As global energy companies continue to seek new opportunities in Africa, the latest licensing round is expected to strengthen Nigeria’s position as one of the continent’s most attractive destinations for upstream oil and gas investment.