The upward trend in oil and gas exploration activities persisted in February as the rig count, an index of measuring upstream activities, rose year-on-year, YoY, by 23 per cent to 16, in February 2024, from 11 in the corresponding period of 2023.

Also, on month-on-month, MoM, the exploration indicated marginal growth of 6 per cent from 15 in January, 2024, according to the March 2023 Monthly Oil Market Report, MOMR of the Organisation of Petroleum Exporting Countries, OPEC.

The sustained rise in exploration, according to the Chief Executive, Nigerian Upstream Petroleum Regulatory Commission, NUPRC, Engr. Gbenga Komolafe, was due to the positive impact of Nigeria’s Petroleum Industry Act, PIA.

Komolafe, said: “The PIA is positively impacting as it provides institutional governance, efficient administration, and attractive fiscal regimes while providing for host communities, thus creating a peaceful atmosphere for investment and operations.”

According to him, “We are currently partnering with TGS-Petrodata to acquire about 56,000 Square kilometers of 3D Seismic Gravity data in water depths ranging from 40 to 4,000m to further de-risk the Niger Delta deep and Ultra Deep Offshore. “The government is not paying for the provision of these data. However, the government stands to generate additional revenue. The investors would pay for the data and the revenue is to be shared by the government and TGS.

Expressing optimism on sustaining the rise in oil exploration, Komolafe said 2024 looks bright as the agency has concluded plans to conduct oil licensing round as part of the implementation of the nation’s PIA.

Source: Vanguard Newspaper