Nigeria’s Oil Sector Transforms As Local Firms Rise, Investment Surges, Regulator Says
Nigeria’s oil and gas sector is undergoing a significant shift, driven by rising local participation, climate commitments and renewed investor interest, according to Oritsemeyiwa Eyesan, chief executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
Speaking at the 2026 Offshore Technology Conference in Houston, Eyesan said indigenous firms are playing an increasingly dominant role, with nearly 100 Nigerian companies now active in the sector.
“Today, nearly 100 Nigerian companies are operating in the sector. That is phenomenal,” she said.
Eyesan highlighted Nigeria’s climate goals, noting the country is targeting zero gas flaring by 2030 and net-zero emissions by 2060. Gas flaring has already fallen below 10%, she said.
“We are not just penalising flaring, we are commercialising it,” Eyesan added, explaining that flare gas is being converted into energy with the potential to generate up to three gigawatts of electricity.
She described the Petroleum Industry Act as a “game changer,” citing improved regulatory clarity and stronger investor confidence, while stressing the need for ongoing policy adjustments to remain competitive.
“The government has been responsive. We constantly evaluate our position and adjust to attract and retain investment,” she said.
Investor appetite appears strong, with Eyesan revealing that nearly 300 applicants competed for about 50 assets in the 2025 bid round.
“That tells you the opportunities are significant, and the story will change rapidly,” she added.
Eyesan also pointed to downstream reforms, including subsidy removal, as a catalyst for the adoption of alternative fuels such as compressed natural gas.
Meanwhile, Wole Ogunsanya, chairman of the Petroleum Technology Association of Nigeria, said the country’s presence at the conference reflects a commitment to boosting production and strengthening energy security.
“Even in these trying moments, we ensured Nigeria was represented,” he said, adding that efforts are underway to expand refining capacity and reduce reliance on fuel imports.
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