The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has officially launched its 2025 Licensing Round, offering 50 oil and gas blocks across onshore, swamp/shallow water, and offshore terrains in various basins.
The government has reduced the signature bonus to between $3 million and $7 million to lower entry barriers.
The licensing round is expected to attract up to $10 billion in investments and potentially add 2 billion barrels of oil over the next decade, with production projected at 400,000 barrels per day once fully operational.
However, the NUPRC has warned that bidders may be disqualified if they or any of their members are indebted to the government, have previously mismanaged an awarded license, become insolvent, or fail to comply with relevant laws.
The exercise is open to both local and foreign companies. Foreign firms do not need to be registered in Nigeria to bid, but a Petroleum Prospecting License (PPL) will only be awarded after registration under the Companies and Allied Matters Act (CAMA), as required by law.
Bidders must submit offers within the prescribed $3–$7 million range. Offers below this range will be deemed non-compliant.
In cases where multiple bidders submit identical highest bids, a sealed re-bid process will determine the winner.
The NUPRC also set participation limits, stating that no company—whether individual or part of a consortium—may apply for more than two blocks.
Companies with ownership or management interests in multiple consortiums will have their applications aggregated as a single bidder.
Financial requirements for eligibility include an average annual turnover or cash in bank of $100 million for deep offshore blocks and $40 million for onshore and shallow water blocks.
Newly incorporated companies must provide parent company guarantees of the same amounts.
The Commission emphasized that all measures are aimed at ensuring a transparent, competitive, and compliant licensing process.
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