NUPRC names July 21, 2026 as date to announce winners of 50 oil, gas blocks

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) will announce successful bidders for 50 oil and gas blocks on Tuesday, July 21, 2026, at its Commercial Bid Conference. The announcement will close an eight-month licensing exercise expected to attract roughly $10 billion in fresh investment across five major hydrocarbon basins.

$10 billion target across five basins

President Bola Tinubu approved the 2025 Licensing Round on December 1, 2025, under the Petroleum Industry Act (PIA) 2021. The round covers 15 onshore blocks, 19 shallow-water blocks, 15 frontier blocks and one deep-offshore block. The blocks are spread across the Niger Delta, Chad Basin, Benue Trough, Anambra Basin and Bida Basin.

NUPRC projected the round would draw approximately $10 billion in new capital. The commission said the exercise will help unlock discovered but undeveloped fields and dormant assets, and accelerate natural gas output. It described the round as the third licensing round conducted under the PIA framework, reflecting the federal government's broader push to strengthen energy security and stimulate upstream activity.

Merit-based selection and strict rules

The bid process ran through five stages: registration and pre-qualification, data acquisition, technical bid submission, evaluation, and the Commercial Bid Conference. Pre-qualified applicants received notification on March 16, 2026, while technical and commercial bid submissions closed on June 12.

NUPRC said the selection process is merit-based, weighing both technical competence and commercial proposals. The federal government set signature bonuses at between $3 million and $7 million per block. Any bid falling outside that range is automatically disqualified. Where two or more companies submit identical highest bids, the commission will conduct a sealed rebid to identify the winner.

The commission added: "Companies with outstanding government liabilities, weak development track records or regulatory non-compliance risked disqualification at any stage."

Licence terms and community obligations

Successful companies will be awarded Petroleum Prospecting Licences. They may operate under either a Concession or a Production Sharing Contract framework, with the chosen model governing fiscal terms for up to 20 years.

Bidders were also required to submit host community development plans and commit 3% of operating expenditure to Host Community Development Trusts, in line with the PIA. Environmental, social and governance standards and decarbonisation commitments also formed part of the evaluation criteria.

Following the July 21 announcement, NUPRC expects ministerial approval and formal contract signing to take place between July and October 2026. After that, licences will become legally effective.

The 2025 round follows the award of Petroleum Prospecting Licences to 12 companies across 19 blocks from the 2024 licensing round, as the government continues its strategy of expanding exploration and attracting long-term upstream investment.

What this means for Nigeria

The successful conclusion of the 2025 Licensing Round signals sustained investor confidence in Nigeria's upstream sector. If the $10 billion target is met, the inflows could boost foreign exchange reserves and support the naira over the medium term. Increased oil and gas production also strengthens the government's revenue position and improves the country's ability to meet its OPEC quota commitments.