The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has signed a Production Sharing Contract (PSC) for Petroleum Prospecting Licences (PPLs) 2000 and 2001 with NNPC Limited and the TotalEnergies – Sapetro Consortium.
NUPRC Chief Executive, Gbenga Komolafe, described the deal—formalising the 2024 Licensing Round—as a milestone for Nigeria’s upstream sector under the Petroleum Industry Act (PIA). He said the PSC would unlock deepwater geological potential, expand reserves, boost production, and strengthen energy security.
Komolafe credited President Bola Tinubu’s reforms, including the directive to reallocate idle assets and the 2024 Executive Orders on fiscal incentives, local content, and contract efficiency, with catalysing investment inflows.
He noted that TotalEnergies, with 80% contractor interest, and Sapetro, with 20%, were awarded the offshore blocks spanning about 2,000 sq km in the Niger Delta Basin. He urged investors to take advantage of the transparent and competitive licensing framework.
NNPC Group CEO, Bashir Ojulari, said the PSC was unique, being the first deepwater contract under the PIA to cover both oil and gas, with robust fiscal terms and incentives for non-associated gas monetisation. He disclosed that it included a $10m signature bonus and production-linked bonuses.
“This will help NNPC move closer to its target of three million barrels per day and attract $60 billion in investment by 2030,” Ojulari said.
TotalEnergies Managing Director, Mathieu Bouyer, welcomed the award as the company’s first Nigerian exploration block in 10 years, pledging swift and responsible execution of the work programme with Sapetro.
