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FG Expands 2024 Oil Bid Round with 17 New Blocks

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The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced the addition of 17 new deep offshore oil blocks to its 2024 oil bid round, expanding the total number of blocks available for exploration and production to 36.

This decision is expected to significantly bolster the country’s oil reserves and enhance production capacities across various terrains including onshore Niger Delta, continental shelf, and deep offshore areas.

Engr. Gbenga Komolafe, the Chief Executive of NUPRC, elaborated on the commission’s strategy in a document released on Tuesday.

He emphasized the commission’s commitment to leveraging Nigeria’s abundant oil and gas reserves to attract investments and stimulate economic growth.

Komolafe highlighted that the addition of these blocks follows extensive efforts in collaboration with multiclient companies to acquire and analyze new exploratory data.

“In pursuit of the Commission’s commitment to derive value from the country’s abundant oil and gas reserves and increase production, the Commission has been working assiduously with multiclient companies to undertake more exploratory activities to acquire more data to foster and encourage further investment in the Nigerian upstream sector,” Komolafe said.

The decision to reopen the commercial bid for the 2022/2023 licensing round was also announced, citing improved fiscal incentives approved by President Bola Tinubu, who serves as Nigeria’s Minister of Petroleum Resources. Komolafe highlighted the president’s efforts to create an enabling environment for investment in the upstream oil and gas sector, including attractive fiscal regimes and reduced entry fees.

Komolafe further clarified, “It may be recalled that some deep offshore blocks were put on offer for the 2022/23 Mini Bid Round and other blocks which cut across onshore, continental shelf and deep offshore terrains were also put on offer for the Nigeria 2024 Licencing Round.”

He emphasized the importance of maintaining transparency and a level playing field for all bidders, ensuring that the bid criteria and signature bonus criteria remain consistent across both licensing rounds.

Investors and stakeholders in the oil and gas sector are closely monitoring developments as the bidding process for these lucrative oil blocks unfolds, anticipating significant interest given the expanded opportunities and favorable investment conditions.

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