OIL RIG COUNT RISES TO 42 UNDER PIA REFORMS

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has reported a surge in rig activity—from 11 to 42—following regulatory reforms and enforcement of the “Drill or Drop” policy under the Petroleum Industry Act (PIA). However, crude oil output declined by 2.2 percent in May 2025, falling to 1.45 million barrels per day (bpd), with condensate-inclusive output at 1.65 million bpd. This represents 97% of Nigeria’s OPEC quota. The decline was attributed to maintenance and corporate realignments, even as investor confidence remains high. NUPRC boss Engr. Gbenga Komolafe said automation, asset divestment by IOCs, and transparent governance are improving sector efficiency. He reiterated the government’s resolve to revoke licenses of non-performing operators to optimize revenue and boost national production. The Independent Petroleum Producers Group (IPPG) praised the reforms and pledged continued collaboration to realise the “Project One Million Barrels Incremental” strategy.