NUPRC Approves Seplat-ExxonMobil Divestment, Launches “Operation 1 Million”

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has given the green light to the Seplat-ExxonMobil divestment application, marking a significant milestone in the country’s oil and gas industry.

This approval comes as the NUPRC launches its ambitious “Operation 1 Million” initiative aimed at ramping up oil production to 1 million barrels per day.

According to NUPRC Chief Executive Engr. Gbenga Komolafe, Operation 1 Million is an industry-wide collaborative effort to unlock incremental oil production in the short to medium term.

This initiative will create value for all stakeholders, including producers, service providers, rig owners, financiers, and crude oil off-takers.

Komolafe emphasized that this project is crucial for production ramp-up, energy security, and economic resilience, aligning with the national interest.

The NUPRC’s January 1 Regulatory Action Plan for 2024, which aims to promote operational excellence in the upstream sector, directly inspired the initiative.

The Commission has approved four successful applications, including the Seplat-ExxonMobil divestment, which accounts for 80% of the total. Other approved divestments include:

Notably, the divestment of Shell Petroleum Development Company Limited’s assets to Renaissance Africa Energy Company Limited failed to pass the regulatory test.

This development underscores the NUPRC’s commitment to facilitating strategic investments and collaborations in Nigeria’s oil and gas industry, as mandated by the Petroleum Industry Act (PIA).