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OIL AND GAS SECTOR
FG Launches Nigeria's First Gas Trading System
The Federal Government has launched Nigeria's first formal gas trading system, introducing a Gas Trading Licence alongside a Clearing House and Settlement System to establish a transparent, regulated gas market. For the gas and power sectors, the platform is expected to improve price discovery, reduce counterparty risk, deepen liquidity, and support Nigeria's ambition to become a regional gas trading hub while attracting long-term investment across the gas value chain.
Petroleum licensing: NUPRC reduces signature bonus to $3m
The Federal Government has reduced the signature bonus for the 2025 petroleum licensing round to a range of $3 million–$7 million, aiming to lower entry barriers and attract investment. Under the Petroleum Industry Act, bids will be scored on bonus compliance, work program, cost efficiency, technical capacity, and green initiatives. The round, offering 50 blocks across onshore, shallow water, frontier, and deepwater assets, targets $10 billion in new investments and is expected to boost reserves, expand production, deepen gas utilization, and strengthen transparency in Nigeria's upstream sector.
Heirs Energies Secures $750m Afreximbank Financing to Drive Growth and Energy Sufficiency
Heirs Energies has signed a $750 million financing agreement with Afreximbank to accelerate its expansion and boost energy sufficiency. The facility, which includes refinancing and growth capital, will support plans to increase crude output from 55,000 to 100,000 barrels per day and deliver 250 million scf of gas within three years.
NUPRC Issues Permits to 28 Firms for Flare Gas Utilisation, Targets $2bn Investments
NUPRC has granted Permits to Access Flare Gas to 28 companies under the NGFCP, marking a major step toward reducing emissions and commercialising 250–300 mmscfd of flared gas. The programme is projected to attract $2bn in investments, create over 100,000 jobs, produce 170,000 MT of LPG annually, and unlock 3GW of power potential.
NCDMB Tightens NCEC Certification to Eliminate Middlemen and Fraudulent Applications
The Nigerian Content Development and Monitoring Board (NCDMB) has strengthened its certification process to block middlemen and dubious operators from accessing Nigerian Content Equipment Certificates (NCEC) and related approvals. Effective January 1, 2026, all NCECs will be non-transferable, ensuring only duly certified companies participate in tenders. The move aligns with the Presidential Directive on Local Content Requirements and is expected to curb fraudulent applications, boost indigenous capacity, and reinforce transparency in Nigeria's oil and gas sector.
Tinubu Nominates New CEOs for NUPRC and NMDPRA
President Bola Tinubu has nominated Oritsemeyiwa Eyesan, former Executive Vice President for Upstream at NNPC, as Chief Executive Officer of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). Engr. Saidu Aliyu Mohammed, former Managing Director of Kaduna Refinery, has been nominated as CEO of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA). Both appointments are subject to Senate confirmation and are expected to strengthen regulatory leadership across Nigeria's oil and gas value chain.
Nigeria's gross oil revenue misses 2025 budget target in H1 2025
Nigeria's gross oil revenue significantly underperformed in the first half of 2025, recording a massive 64.35% shortfall in Q1 and a 62.62% deficit in Q2 against budget targets despite a year-on-year increase in actual receipts. While non-oil revenue showed a slight recovery by Q2, net distributable revenue for all tiers of government remained over 40% below projections, highlighting persistent fiscal gaps in the national budget.
Nigeria exports 33.23m barrels to U.S., leads Africa in 2025
Nigeria emerged as Africa's top crude oil exporter to the U.S. in the first eight months of 2025, shipping 33.23 million barrels valued at $2.57 billion. Despite this lead, the period saw a historic trade reversal as Nigeria's imports of U.S. crude surged to meet the growing feedstock demands of the Dangote Refinery, momentarily exceeding its exports to the United States.
Seplat migrates OML 4, 38, 41, 53 assets to PIA regime
Seplat Energy has transitioned its onshore oil assets (OMLs 4, 38, 41, and 53) to the Petroleum Industry Act (PIA) fiscal regime, moving away from the old Petroleum Profit Tax system effective January 1, 2026. This strategic conversion, covering 31% of the company's 2025 production, is expected to unlock significant value by enhancing profitability and cash flow in line with the company's medium-term growth guidance.
NNPC, Heirs Energies sign Gas Flare Commercialization Agreements to boost power generation
NNPC and Heirs Energies have signed a Gas Flare Commercialization Agreement to capture flare gas from OML 17 for power generation, industrial use, and LPG/CNG production. This milestone, part of the Nigerian Gas Flare Commercialization Programme (NGFCP), transitions the project from regulatory approval to active execution, aiming to eliminate waste and drive Nigeria's energy transition.
FG wipes $5bn NNPC debts ahead of IPO
The Federal Government's write-off of approximately $5 billion in NNPC Limited's debts is a strategic move to clean up the company's balance sheet ahead of a potential Initial Public Offering (IPO) in 2028. While this clearance of legacy liabilities aims to attract foreign investment and transparency for a possible 20% equity sale, an estimated $42.4 billion in disputed debts from 2011–2017 remains unresolved on the firm's books.
NNPC opens talks to sell stakes in assets –Report
NNPC Limited has officially invited bids from investors to purchase stakes in several of its oil and gas assets as part of a strategic portfolio optimization and investment drive. Prospective bidders are required to register online by January 10, 2026, marking a significant step for the state- owned firm in diversifying ownership across its wholly-owned and joint-venture operations.
ELECTRICITY SECTOR
187,765 Electricity Customers Metered in Two Months
Nigeria added 187,765 newly metered electricity customers between September and October 2025, lifting the national metering rate from 55.37% to 56.07%, according to the Nigerian Electricity Regulatory Commission. Metered customers increased from 6.66 million to 6.77 million over the period, while the active customer base rose to 12.07 million, leaving about 5.3 million customers still on estimated billing. For the power sector, the progress signals gradual improvement in billing transparency and revenue assurance, but also highlights the scale of work required to achieve universal metering.
President Bola Tinubu Reconstitutes NERC Board to Align with Electricity Act 2023
President Bola Tinubu has approved the reconstitution of the Nigerian Electricity Regulatory Commission (NERC) board following Senate confirmation of members. Dr. Mulisiu Olalekan Oseni assumes office as Chairman, with Dr. Yusuf Ali appointed Vice Chairman. Other commissioners include Nathan Rogers Shatti, Dafe Akpeneye, Aisha Mahmud Kanti Bello, Dr. Chidi Ike, and Dr. Fouad Animashaun. The move aims to deepen reforms and consolidate Nigeria's power sector transformation in line with the Electricity Act, 2023.
Mini-Grid Operators to Pay DisCos Under New NERC Guidelines
The Nigerian Electricity Regulatory Commission has issued new commercial guidelines requiring interconnected mini-grid operators to compensate distribution companies for network usage, introducing a clearer payment framework for mini-grid deployment. Effective December 1, 2025, the rules establish a two-part charge comprising a fixed Rental Fee for distribution asset use and a variable Cost of Energy based on actual consumption at the point of interconnection. The framework clarifies cost recovery, limits pass-through of distribution expenses, and introduces structured treatment of legacy customer debt.
REA deploys over 200 mini-grids in 2025, targets 1,350 power projects
The Rural Electrification Agency (REA) successfully deployed over 200 mini-grids in 2025 and is now scaling up via the $750 million DARES project to provide electricity to 17.5 million Nigerians. To ensure sustainable growth, the agency has mapped 150,000 underserved communities and deepened partnerships with 21 state governments to align federal and subnational electrification efforts.
FG issues N590 billion power sector bond to clear GENCO, gas arrears
The Federal Government has launched the first phase of the Presidential Power Sector Debt Reduction Programme with the issuance of a N590 billion Series 1 Power Sector Bond by NBET Finance Company Plc. Backed by the full faith and credit of the government, the bond is a strategic intervention aimed at clearing longstanding payment arrears and restoring financial liquidity to the electricity industry.
INFRASTRUCTURE
Pi-CNG inks China deal to localise CNG, EV infrastructure in Nigeria
The Presidential Initiative on Compressed Natural Gas (Pi-CNG) has signed an MoU with China's YJT Environment Technology to localize the manufacturing of CNG dispensers, refueling stations, and EV charging infrastructure in Nigeria. This partnership integrates smart IoT monitoring to enhance safety and transparency while driving job creation and technology transfer across the country's alternative energy sector.
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