NNPC, NUPRC Reforms Attract $20bn Gas Investments as Nigeria’s Oil Production Hits 1.71m bpd
- CFEAD commends NNPC and NUPRC for restoring confidence in Nigeria's oil and gas industry
- NNPC secures over $20 billion in gas agreements, boosting energy market trust
- Reforms must directly benefit ordinary Nigerians through job creation and economic stability
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Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
The Citizens Forum for Energy Accountability and Development (CFEAD) has commended the Nigerian National Petroleum Company Limited (NNPC Ltd.) and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) for what it described as significant progress in restoring confidence and attracting investment into Nigeria’s oil and gas industry.
In a statement signed by its Executive Director, Patriot Unazi Gideon, the group said recent developments announced by NNPC Group Chief Executive Officer, Bayo Ojulari, and NUPRC Commission Chief Executive, Oritsemeyiwa Eyesan, showed that sustained reforms and stronger operational discipline were beginning to deliver measurable results.
Source: Twitter
CFEAD particularly highlighted more than $20 billion in gas sale and purchase agreements secured by NNPC over the past year, describing the deals as a major vote of confidence in Nigeria’s energy market.
The agreements cover 1.29 billion standard cubic feet per day of long-term LNG feed gas and 750 million standard cubic feet per day of domestic industrial gas supply to DFL FZE and Dangote Refinery. Seven additional commercial transactions are also reportedly in the pipeline.
Oil production hits five-year high
The group also praised NNPC for reducing operating costs by $3.4 billion through contract restructuring and optimisation, alongside a six per cent rise in crude oil production and an 8.1 per cent increase in gas output.
Crude production has reportedly risen to about 1.71 million barrels per day, its highest level in five years.
CFEAD said the increase could have major implications for government revenue, economic stability, infrastructure financing and job creation.
The organisation also pointed to NNPC Exploration and Production Limited’s record production of 365,000 barrels per day and an average 98 per cent recovery rate across NNPC’s five crude oil export terminals between April 2025 and May 2026.
NUPRC deep offshore reform could unlock $50bn
CFEAD equally commended NUPRC for policies aimed at unlocking investment in deep offshore oil and gas projects.
The group welcomed the Deep Offshore Oil and Gas Project Incentives (Tax Remission) Executive Order 2026, which NUPRC said could unlock approximately $50 billion in investments and increase crude oil and condensate production by an additional one million barrels per day over the coming years.
According to CFEAD, the incentive could revive major offshore projects that have remained delayed because of their huge capital requirements and lengthy investment cycles.
The group identified the $10 billion Bonga South project, expected to commence production in 2027, as an example of the investment opportunities emerging from a more predictable regulatory environment.
Reforms must deliver benefits to Nigerians
Despite applauding the figures, CFEAD said the ultimate measure of success should be the impact of the reforms on ordinary Nigerians.
It said higher oil and gas production should translate into stronger public revenue, more jobs, greater energy security, increased industrial activity and improved economic stability.
The group urged NNPC and NUPRC to sustain the reform momentum while prioritising transparency, accountability and institutional independence.
It also called on oil-producing communities, operators, investors, security agencies and other stakeholders to support efforts to increase production and attract long-term capital.
Source: Twitter
CFEAD warned against a return to policy reversals, political interference and unnecessary bureaucracy, stressing that consistency would be crucial to preserving investor confidence.
The organisation said the latest developments provide an opportunity for Nigeria to build a stronger petroleum industry capable of supporting local businesses, developing technical expertise, creating employment and generating broader economic prosperity.
Tinubu vows to revive Nigeria’s refineries
Legit.ng earlier reported that President Bola Tinubu has assured Nigerians that the country’s refineries will be revived and repositioned to become commercially viable, insisting that simply getting the plants to operate is not enough.
The President committed on Thursday when he received the newly elected national executive of the Nigerian Union of Petroleum and Natural Gas Workers (NUPENG), led by its President, Comrade Salimon Akanni Oladiti, at the State House in Abuja.
Source: Legit.ng
