The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has dismissed allegations of irregularities in the 2024 oil block licensing round, asserting that the process strictly adhered to the Petroleum Industry Act (PIA) 2021 and its licensing guidelines.
This disclosure was made by the Chief Executive of the NUPRC, Mr. Gbenga Komolafe, on Thursday in Abuja, as reported by the News Agency of Nigeria (NAN).
He stated that the bidding process was transparent, competitive, and driven by technology.
“The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) said that no oil licensing guidelines violations occurred during the 2024 oil block licensing round.
“The commission stated that the process was conducted in strict compliance with the Petroleum Industry Act (PIA) and its own licensing guidelines, ensuring a transparent, competitive and technology-driven bidding exercise.
“The 2024 oil block licensing round adhered fully to all statutory provisions and guidelines, with no discrimination or corrupt practices involved,” the source read in part.
Komolafe stated that the licensing round followed a multi-stage process pre-qualification, technical evaluation, and commercial bid assessment, requiring bidders to submit documents such as incorporation papers, tax clearances, and proof of financial, technical, and legal capacity.
He noted that, contrary to recent media claims that a newly registered company was improperly awarded oil blocks, the Commission’s guidelines do not restrict participation based on a company’s age.
The NUPRC Executive emphasized that the commercial bidding phase was conducted digitally with encrypted systems to ensure data integrity, and results were announced live, witnessed by NEITI and key government stakeholders.
Komolafe revealed that several indigenous oil companies not only participated but outbid national and international contenders, signaling robust investor confidence in Nigeria’s upstream sector post-PIA.
He noted that the strong performance of indigenous firms reflects renewed investor confidence driven by the implementation of the Petroleum Industry Act (PIA).
NUPRC’s Executive emphasized its commitment to transparency, assuring the public of a fair and investor-friendly regulatory environment under the current administration.
In May 2024, NUPRC announced the commencement of the 2024 oil block licensing round, and in July, the Commission issued a 24-hour deadline for new investors to register for participation, as reported by Naijaonpoint.