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Nigeria has significantly ramped up its crude oil production and upstream activity, achieving a daily output between 1.7 million and 1.83 million barrels. The number of active drilling rigs in the country also rose sharply, from 31 in January to 50 by July 2025, marking a notable resurgence in exploration and development activity. These gains come as part of the broader impact of reforms spearheaded by President Bola Tinubu, aimed at revitalizing the country’s oil and gas sector.
The announcement was made by Senator Heineken Lokpobiri, the Minister of State for Petroleum Resources (Oil), during a keynote address at Africa Energy Week held in Cape Town. Speaking on behalf of President Tinubu, Lokpobiri highlighted how targeted government reforms are beginning to yield tangible results, especially in the upstream segment of the industry.
At the center of this turnaround is the “Project One Million Barrels” initiative, launched in October 2024. This project was designed to recover and increase Nigeria’s oil production, which had been hampered in recent years by underinvestment, theft, and operational inefficiencies.
Lokpobiri emphasized that Nigeria is now “open for business,” crediting the Petroleum Industry Act (PIA) as a transformative piece of legislation. The PIA has helped to establish a more transparent, stable, and investor-friendly regulatory framework—critical for attracting both domestic and international investment.
The Minister also pointed to a wave of recent asset divestments by international oil companies (IOCs), which have triggered over $5.5 billion in final investment decisions (FIDs). These new investments are projected to contribute an additional 200,000 barrels per day to Nigeria’s national output.
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“These are not just transfers of assets,” Lokpobiri explained. “They are transfers of confidence, capability, and ownership.” His remarks underline the belief that the shift toward greater local participation and a strengthened regulatory environment is beginning to restore investor confidence and unlock the full potential of Nigeria’s vast hydrocarbon resources.
Nigeria’s oil sector is undergoing a period of recovery and renewed momentum, powered by structural reforms, increased investment, and a proactive government agenda under President Tinubu’s leadership.