- Nigeria’s NUPRC expresses optimism about the country’s oil and gas sector benefiting from President Trump’s anticipated pro-fossil fuel policies.
- NUPRC launches a 1 million barrel per day production initiative to bridge the gap between Nigeria’s oil production target and current output.
Through the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), the Nigerian Government has expressed optimism about the potential benefits for Nigeria’s petroleum sector due to anticipated pro-oil and gas policies from U.S. President Donald Trump.
Gbenga Komolafe, the Chief Executive of NUPRC, shared this outlook during the Petroleum Industry Stakeholders Forum in Abuja on Thursday. He pointed to a nearly 4% rise in the energy sector fund following Trump’s 2024 presidential victory, reflecting market optimism about fossil fuel investments under his expected policies. In contrast, renewable energy companies, such as U.S. solar giant First Solar, saw declines, signalling that Trump’s second term may favour traditional energy sectors and limit support for renewables, which could benefit Nigeria’s upstream oil industry.
Komolafe emphasised that this trend is good news for Nigeria, as the country’s petroleum sector is closely linked to global energy developments. He highlighted the 2025 national budget based on a crude oil production target of 2.062 million barrels per day at $75 per barrel. However, Nigeria currently produces around 1.7 million barrels daily, leaving a shortfall of about 350,000 barrels. To address this gap, NUPRC has launched a “1 Million Barrel Per Day Incremental Production Initiative,” aiming to improve efficiency and scale production by encouraging collaboration within the upstream value chain.
The Commission’s 2025 focus includes implementing the incremental production initiative, enhancing transparency through metering and cargo regulations, and driving digitalisation in upstream regulatory activities to foster compliance. Komolafe also stressed the importance of reducing carbon footprints in operations while continuing to leverage the Host Community Development Trust (HCDT) for positive results.
Furthermore, NUPRC is working to create synergies among industry players by identifying and addressing gaps in the value chain. Komolafe called for collaboration to meet the government’s aspirations for the sector.
In his address, Farouk Ahmed, the Authority Chief Executive of the Nigerian Midstream & Downstream Petroleum Regulatory Authority (NMDPRA), discussed the agency’s proactive actions to protect and grow the industry under the Petroleum Industry Act (PIA) 2021. He highlighted the success of full-price deregulation in the petroleum products market, which has fostered healthy competition, investment opportunities, and steady product supply.
Ahmed also noted that the country experienced uninterrupted fuel supply during the recent festive period, with no product shortages or fuel queues. The stability in the pump price of petroleum products has been supported by the involvement of domestic refineries, oil marketing companies, and multiple supply sources, as well as a favourable exchange rate and declining international market prices.