The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has welcomed ExxonMobil’s commitment to invest $1 billion in the Usan Infill Project located in Oil Mining Lease (OML) 138, describing the development as a major boost to Nigeria’s upstream petroleum sector.
The Commission Chief Executive, Mrs. Oritsemyiwa Eyesan, gave the commendation during the 25th NOG Energy Week Conference and Exhibition on Wednesday, following ExxonMobil’s announcement of the investment, which is expected to increase crude oil production by about 40,000 barrels per day.
The Managing Director of ExxonMobil affiliates in Nigeria, Jagir Baxi, disclosed the investment commitment during the conference, outlining the company’s renewed focus on expanding production through the Usan Infill Project.
Responding, Eyesan described the investment as a significant milestone for the industry, noting that Esso Exploration and Production Nigeria, ExxonMobil’s Nigerian affiliate and operator of OML 138, had not undertaken any drilling operations since 2016.
She said the renewed investment demonstrates growing investor confidence in Nigeria’s upstream sector and aligns with ongoing efforts by the Federal Government to boost crude oil production and attract fresh capital into the industry.
OML 138, which contains the Usan Field, is operated by Esso Exploration and Production Nigeria under a Production Sharing Contract with the Nigerian National Petroleum Company (NNPC) Limited. Other partners in the block include Chevron, TotalEnergies and Nexen, a wholly owned subsidiary of CNOOC.
Meanwhile, the NUPRC also presented Petroleum Prospecting Licences (PPLs) to successful bidders following the conclusion of the 2022/2023 Mini Bid Round and the Nigeria 2024 Licensing Round.
Among the companies that received the licences were Broron Energy Limited (PPL 2009), Petroli Energy Marketing and Supply Limited (PPL 269), Sahara Deepwater Resources Limited (PPLs 270 and 271), and Tulcan Energy E&P Co. (PPL 2008).
According to the Commission, the awards cover 12 successful companies across 19 Petroleum Prospecting Licences, spanning deep offshore, shallow water and continental shelf acreages.
NUPRC said the broad mix of assets reflects the diversity of investment opportunities available in Nigeria’s upstream petroleum sector and underscores the success of the licensing rounds in attracting credible investors to develop the country’s hydrocarbon resources.
