13 oil blocks fail to attract bids in licensing round

The Federal Government has returned 13 oil and gas blocks to its licensing basket after they failed to attract investor bids in the 2025 Licensing Round, despite renewed interest that saw about 200 commercial bids submitted by 143 companies for the remaining assets.

The Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Oritsemeyiwa Eyesan, disclosed this on Tuesday at the 2025 Commercial Bid Conference in Abuja, saying only 37 of the 50 blocks offered received commercial bids.

The development comes as the Federal Government intensifies efforts to boost crude oil production to three million barrels per day by 2030 through increased investment in the upstream petroleum sector.

Eyesan said the outcome nevertheless reflected improving investor confidence in Nigeria’s oil and gas industry, noting that nearly 300 companies initially expressed interest in the licensing exercise.

“At the end of the exercise, we had 50 blocks on offer, but we only had representation for 37 of those 50 blocks. Thirteen of those blocks will be returning to the basket,” she said.

According to her, the strong level of initial interest marked a significant turnaround for Nigeria’s upstream sector.

“When we started the journey, we got interest from almost 300 companies. I repeat, almost 300 companies. That, in my view, was an indication that the tide has turned for Nigeria,” Eyesan stated.

She explained that the number of interested firms was reduced to 196 after the prequalification exercise before advancing to the technical and commercial bid stages.

The NUPRC said 143 companies eventually submitted about 200 commercial bids for the 37 oil and gas blocks that attracted investor participation.

The 2025 Licensing Round, announced on November 11, 2025, under the provisions of the Petroleum Industry Act 2021, offered 50 oil and gas blocks across seven sedimentary basins.

The assets comprised 16 onshore blocks in the Niger Delta, 18 shallow-water blocks, one deep offshore block, three blocks in the Benin Basin, four in the Anambra Basin, four in the Chad Basin and four in the Benue Trough.

The bid portal opened on December 1, 2025, while a pre-bid conference was held in Lagos on January 14, 2026. Registration and prequalification submissions closed on February 27, with the prequalification process completed on March 16.

Under the evaluation framework, successful bidders will be selected using a weighted assessment of signature bonus commitments, proposed work programmes and performance security, rather than financial offers alone.

The commission said the approach is designed to ensure that petroleum assets are awarded to companies with the financial capacity, technical expertise and operational capability to accelerate exploration, increase production and support Nigeria’s long-term energy objectives.