PHOTO CREDIT: The Sun Nigeria / NNPC Limited
Nigeria’s Rig Count Climbs to 73 as NNPC GMD Ojulari Drives Upstream Revival

Nigeria’s upstream oil and gas sector is showing strong signs of recovery, with a rise in rig deployment and major progress on key deepwater projects.

The turnaround is being driven under the leadership of the Group Chief Executive Officer of NNPC Limited, Engr. Bayo Ojulari, who assumed office in April 2025 with a clear focus on investment discipline, operational efficiency, and accelerated development of viable assets.

Data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) shows that Nigeria’s total rig count increased to 73 in March 2026, up from 72 recorded in both January and February.

A breakdown of the figure shows that land operations dominated with 52 rigs, offshore rigs rose from 11 to 12, while swamp operations remained stable at nine rigs.

The March figure represents a 22.6% year-on-year increase compared to the same period in 2025, signaling renewed investor confidence and expanding exploration and production activities.

NUPRC, however, noted that only 31 rigs were actively drilling in March, with others on standby, stacked, or under mobilization. While rig count does not directly equal drilling activity, analysts say rig availability remains a critical indicator of upstream momentum.

On the project front, significant progress has been recorded on the Bonga South-West/Aparo deepwater project in OML 118. NNPC Ltd and its partners — Shell Nigeria Exploration and Production Company (SNEPCo), Esso Exploration and Production Nigeria Deepwater Ltd, and Nigerian Agip Exploration Ltd — have executed key agreements to advance the project toward Final Investment Decision (FID).

The project, estimated to attract $15 billion to $21 billion in investments over its lifecycle, is one of Nigeria’s most strategic deepwater developments. At peak, it is expected to produce 175,000 barrels of oil per day and 140 million standard cubic feet of gas per day.

The partners have completed the Pre-Front-End Engineering Design (Pre-FEED) and have selected a preferred contractor for the Floating Production Storage and Offloading (FPSO) unit, pending final regulatory and commercial approvals.

The development aligns with recent disclosures by Ojulari that ongoing petroleum sector reforms have already secured over $34 billion in new investment commitments. He also noted that the Deep Offshore Oil and Gas Projects Incentives Order could unlock an additional $50 billion-plus in investments across Bonga South-West, Zabazaba, and Owowo fields.

If sustained, the uptick in drilling and project execution is expected to boost government revenue, foreign exchange earnings, job creation, and local content participation.

For NNPC Limited, the dual growth in rig count and project advancement reinforces the narrative of an upstream resurgence. For the Federal Government, it is a critical step toward achieving its 3 million barrels per day crude production target by 2030.

SOURCE: The Sun Nigeria