The Nigerian National Petroleum Company Limited (NNPCL) has signed a major partnership with Nigerian private oil and gas firms on production sharing contracts (PSCs) for petroleum prospecting licences (PPLs).

The deal, sealed at the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) headquarters in Abuja, involves PPLs 2000 and 2001 and is seen as a big step for Nigeria’s oil and gas industry.

Speaking at the event, NNPCL’s Group CEO, Bashir Bayo Ojulari, described the partnership as a unique one that will not only strengthen Nigeria’s energy security but also boost economic growth.

“This particular PSC is unique in many respects. It is the first PSC that comprehensively covers its scope, both crude oil and natural gas. It is also the first PSC with robust gas terms, including a profit gas clause that incentivises monetisation of non-associated gas,” he said.

On his part, Engr. Gbenga Komolafe, Chief Executive of NUPRC, explained that awarding the two offshore blocks — spanning about 2,000 square kilometres — was made possible through the transparent and reform-driven framework introduced by the Petroleum Industry Act (PIA) 2021.

International partners also welcomed the deal. The Managing Director of TotalEnergies E&P Nigeria Limited, Matthieu Bouyer, said the signing reaffirmed the company’s long-term commitment to Nigeria, where it has operated for over 60 years.

Similarly, Mr. Chukwuemeke Anagbogu, MD of South Atlantic Petroleum Limited (Sapetro), expressed excitement about the opportunities the partnership would bring.

The agreement marks another milestone in efforts to revitalise Nigeria’s oil and gas sector, with hopes that it will drive investment, create jobs, and improve overall energy supply.