The Federal Government Wednesday announced approval of 37 new crude oil evacuation routes across the country.
This is as part of reforms to bolster production and curb theft.
It also said the number of crude oil rigs has increased from eight in 2020 to 44.
This was disclosed by the Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission, Gbenga Komolafe, while speaking at the 24th edition of the NOG Energy Week 2025, in Abuja.
Delivering a keynote address titled “Positioning Nigeria’s Upstream Oil & Gas for Energy Security, Sustainability, and Economic Resilience,” Komolafe said the new evacuation routes were part of a broader strategy to restore asset integrity, ensure secure transportation of crude, and support the ongoing Project One Million Barrels initiative.
“With 37 new evacuation routes approved and implemented in collaboration with security agencies, we are curbing theft and boosting accountability,” Komolafe declared.
“The impact is already evident, Nigeria’s production has climbed from 1.46 million barrels per day to 1.7 million bpd. Our target is to reach 2.5 million bpd by 2026, and we’re well on our way. As you can see, the rig count has been growing linearly.
“After COVID-19, we moved from a regime where we had a rig count as low as 8 rigs in the Nigeria upstream. As of today, the rig count has increased to 44 rigs. Again, that is a huge achievement for us as a nation.”
According to him, Nigeria’s oil and gas sector is undergoing a historic transformation under the administration of President Bola Tinubu, made possible by the implementation of the Petroleum Industry Act and a string of new executive orders introduced in 2024.
“Let me be clear: under President Bola Ahmed Tinubu’s decisive leadership, we have seen a bold shift in policy direction. Executive Orders #40 on fiscal incentives, #41 on local content, and #42 on cost efficiency and contracting timelines have catalyzed over $16 billion in new investments in just two years,” the NUPRC boss said.
Komolafe noted that securing crude oil infrastructure and ensuring domestic energy resilience were key pillars of the ongoing reforms.
He said the commission’s Domestic Crude Supply Obligation initiative was now guaranteeing steady feedstock to local refineries, in a bid to reduce dependence on imports and strengthen Nigeria’s downstream value chain.
“Our focus is not just on exports. We are strengthening domestic supply chains and economic resilience by ensuring that our refineries receive the crude they need,” he said.
In addition to physical infrastructure and policy reform, Komolafe highlighted the Commission’s ongoing digital transformation programme, which aims to streamline regulatory processes and improve investor confidence.
“Through full-scale digitisation, we’re delivering speed, efficiency, and clarity to investors. Our platforms are transparent, data-driven, and responsive,” he added.
On the social front, the NUPRC boss announced that the *HostComply* platform, a digital tool for tracking host community obligations — has started to yield measurable impacts.
“We have brought real and transparent benefits to oil-producing communities. Peacebuilding, social license to operate, and trust are no longer buzzwords, they’re operational imperatives,” Komolafe noted.
On the climate front, he reaffirmed Nigeria’s commitment to achieving net-zero emissions by 2060 and warned that operators who undermine the gas flare-out initiative under the Nigerian Gas Flare Commercialisation Programme would face stiff sanctions.
“Let it be known: the Commission will not tolerate any producer that undermines this national climate-action programme. Regulatory action has already been taken against non-compliant producers who failed to meet flare capture deadlines,” he said.
“By next year’s NOG conference, we intend to showcase operational flare capture projects that reflect our climate ambition turned into reality.”
Komolafe concluded his remarks with a strong message to investors, urging them to take advantage of Nigeria’s momentum in upstream reform.
“Nigeria is not on the sidelines of the energy future, we are shaping it. With visionary leadership, bold reform, and a clear net-zero path, we are offering a pragmatic, equitable, and resilient transition model,” he said.
“The opportunities are real. The reforms are working. The future is now. To our investors, let me echo President Tinubu’s words: ‘Nigeria must not only be open for business; it must be irresistible for investment.’”
The CCE further pledged to “focus on deepening upstream investment, accelerating reserve development, scaling up production, and enhancing domestic energy security and sustainable growth.”
He added that NUPRC will, “Sustain transparent, competitive licensing rounds under the Continuous Acreage Licensing Framework.
“Accelerate frontier basin exploration and derisking. Fast-track reactivation of shut-in assets. Drive the 1MMBPD initiative through aggressive rig deployment, asset reactivation, streamlined approvals, and enhanced recovery techniques.
“Expand evacuation infrastructure to protect production. Deploy the Advance Cargo Declaration System to curb theft and improve transparency in export.”
Ends
Nigeria’s economic reforms win IMF praise amid signs of durable recovery
The International Monetary Fund’s latest Article IV Consultation said Nigeria is making meaningful progress following a series of significant structural reforms to restore financial discipline and credibility.
The IMF commended Nigeria’s authorities for bold and politically difficult policies that have “improved macroeconomic stability and enhanced resilience.”
The IMF noted that the Central Bank is “appropriately maintaining a tight monetary policy stance, which should continue until disinflation becomes entrenched.”
IMF Applauds FX Reforms
As stated in the IMF Executive Board Assessment, the Fund also “praised reforms to the foreign exchange market that supported price discovery and liquidity.” The CBN, under the leadership of Governor Olayemi Cardoso, dismantled the long-standing multiple exchange-rate regime, replacing it with a “willing-buyer, willing-seller” framework supported by a digital trading platform (B-Match).
The results have been transformative. As the IMF noted, “gross and net international reserves increased in 2024, with a strong current account surplus and improved portfolio inflows.” The FX premium, or gap between official and parallel markets, has fallen from over 60 percent to below 3 percent. FX inflows have surged to $6.9 billion in Q1 2025, and external reserves climbed to a peak of $40.9 billion at the end of 2024, providing over eight months of import–well above benchmark thresholds. “Reforms to the FX market and foreign exchange interventions have brought stability to the naira,” the IMF noted.
In January 2025, Nigeria successfully returned to the Eurobond market, its first issue in four years, reflecting, as the IMF noted, “strengthened investor confidence” and “a resumption of portfolio inflows.”
The Fund “recognised actions to strengthen the banking system, including the ongoing process of increasing banks’ minimum capital,” as stated in the IMF Executive Board Assessment. It also “welcomed the authorities’ efforts to boost financial inclusion and promote capital market development.”
The CBN’s recapitalisation plan will see banks’ minimum capital raised significantly by March 2026. This move is designed to ensure banks can absorb future shocks, deepen credit access, and support the planning for a$1 trillion Nigerian economy.
At the same time, Governor Cardoso’s team is expanding access to banking services for previously excluded demographics through digital platforms and financial literacy programmes, such as the Women’s Financial Inclusion Initiative (Wi-Fi).
‘Strong Foundation’
As stated in the IMF Executive Board Assessment, the Fund “welcomed progress made in strengthening the AML/ CFT framework”, Anti-Money Laundering and Combatting the Financing of Terrorism. It “stressed the importance of resolving remaining weaknesses to exit the FATF grey list,” a designation for jurisdictions under increased monitoring by the Financial Action Task Force due to gaps in their anti-financial crime regimes.
Further significant challenges remain. Inflation, though declining, remains a burden. Infrastructure deficits, insecurity, and fiscal slippages could derail progress. The Fund “highlighted the importance of tackling security, red tape, agricultural productivity, infrastructure gaps, including boosting electricity supply, as well as improved health and education spending, and making the economy more resilient to climate events.”
Recent reforms “should help establish a strong foundation for sustained and inclusive growth,” the IMF noted. “Fiscal and monetary tightening and exchange rate reforms contributed to improved macroeconomic balances.” The IMF also noted that in light of the challenges posed by an evolving global economic landscape, “nimble policymaking is needed to navigate this fast-moving and volatile environment. Strong policy coordination and communication are key.”
Reflecting on the IMF report, Governor Cardoso commented: “At a time of global uncertainty, this assessment reaffirms that responsible, forward-looking policy choices matter. It affirms that Nigeria is regaining credibility, anchoring expectations, and laying the foundation for inclusive, long-term growth. It is both an encouragement to stay the course, and a reminder that resilience and prosperity require continued discipline and vision.”
