Nigerian authorities are ramping up pressure on oil and gas operators to either develop their exploration licences within a specified period or relinquish them. This is part of a renewed drive to revitalise the country’s petroleum industry and enhance public revenue.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) announced the strict enforcement of its “drill or drop” policy, warning that companies holding dormant oil and gas licences will face sanctions, including the loss of operating rights.
The Commission’s Chief Executive, Gbenga Komolafe, conveyed this message during a recent meeting in Abuja, the nation’s capital, with the Independent Petroleum Producers Group (IPPG).
In a statement released by the NUPRC, Komolafe stressed that the government is determined to ensure optimal utilisation of oil assets. He stated that licensees must commence operations within defined timelines or forfeit their rights, adding that the Minister of State for Petroleum Resources, Senator Heineken Lokpobiri, has consistently backed full implementation of the policy, without exemptions.
This decisive approach is part of broader sector reforms introduced under Nigeria’s Petroleum Industry Act (PIA). Among the reforms highlighted was the automation of licence and permit issuance processes—measures designed to reduce bureaucracy and improve the sector’s efficiency.
