The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced it will begin enforcing the ‘drill or drop’ policy, compelling oil producers to either commence production within a set timeframe or forfeit their licences.
NUPRC Chief Executive, Gbenga Komolafe, revealed this during a recent meeting with a delegation from the Independent Petroleum Producers Group (IPPG) at the commission’s headquarters in Abuja.
Komolafe emphasized that the policy is designed to revitalize the oil sector, ensure efficient asset utilization, and increase government revenue. He stated that the commission will strictly enforce this policy to prevent licence holders from sitting on undeveloped oil fields.
Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, has repeatedly vowed to enforce the policy, warning that the government will reclaim idle oil wells from non-performing operators.
During the meeting, Komolafe reaffirmed NUPRC’s commitment to maintaining a business-friendly environment. He highlighted reforms introduced under the Petroleum Industry Act, including the automation of licensing and permitting processes, which have reduced bureaucratic delays and enhanced sector efficiency.
IPPG Chairman Abdulrazaq Isa, who also chairs Waltersmith Group, led the visiting delegation. The group expressed appreciation for NUPRC’s role in facilitating recent asset divestments by international oil companies to indigenous operators—a move that significantly increased local ownership and participation in Nigeria’s upstream sector.
The IPPG also pledged its support for the commission’s ‘Project One Million Barrels Incremental’ initiative, which aims to raise Nigeria’s daily crude oil production. The group reiterated its commitment to expanding both oil and gas development in alignment with national energy goals.
