The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has issued an official warning to the 31 companies that emerged as provisional winners of 37 oil and gas blocks in the 2025 Licensing Round.
The regulatory body reminded the winning firms that they have 60 days remaining within their statutory 90-day compliance window to pay their signature bonuses, fulfill required guarantees, and pay first-year rents, or risk losing their provisional awards to second-ranked reserve bidders.
Key Details & Financial Requirements
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The Statutory Deadline: Provisional award letters were issued immediately following the Commercial Bid Conference held in Abuja on July 21, 2026. Under the Petroleum Industry Act (PIA) 2021 guidelines, winning bidders must complete all post-award financial obligations within 90 days, setting the hard deadline for October 19, 2026.
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Signature Bonus Scale: Depending on the asset type, successful bidders are required to pay statutory signature bonuses ranging between $3 million and $7 million per block.
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Consequences of Non-Compliance: Failure to pay within the 90-day period will result in the immediate forfeiture of the bidder’s bid guarantee. The NUPRC will automatically revoke the provisional award and reassign the asset to the next highest-ranked reserve bidder.
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“Drill or Drop” Policy: NUPRC Commission Chief Executive, Mrs. Oritsemeyiwa Eyesan, emphasized that winning a bid does not automatically grant a Petroleum Prospecting Licence (PPL). The regulator warned that asset development must commence promptly following formal licensing under the commission’s strict operational rules.
