Upstream Petroleum Regulator Revokes Oritsemeyin Rig’s Operating Licence

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has revoked the operating licence of Oritsemeyin Rig.

The commission also directed the company to cease all operations upon the completion of its current well operations.

The notice is contained in a letter dated September 11, 2025, addressed to Selective Marine Services Limited (SMSL) and signed by the Commission chief executive, Engr. Gbenga Komolafe, the commission stated on Friday.

The NUPRC said that the decision followed a thorough review of the circumstances surrounding the drilling of UDIBE-2 wellbore during which a kick was recorded, resulting in several Non-Productive Time (NPT) with consequential cost and a forced well sidetrack.

A kick on an oil rig is the unwanted flow of formation fluids (oil, gas, or water) into the wellbare due to a temporary pressure imbalance, where the pressure inside the wellbore becomes lower than the formation pressure.

This phenomenon, if left unmanaged, can lead to a potentially catastrophic uncontrolled release of fluids called a blowout

Subsequently, the NUPRC in accordance with Section 97 of the Petroleum Industry Ac 12021, issued a formal notice of culpability via a letter dated June 5, 2025 with a timeline of 21 days followed by a reminder dated July 9, 2025 to ensure an amicable resolution which was not achieved even beyond the stipulated time.

“Consequent upon the foregoing and pursuant to the relevant powers conferred on the commission under the extant Petroleum Industry Act 2021, the annual licence to oper ate granted to Selective Marine Services Limited for the Oritsemeyin Rig is hereby revoked, the commission stated.

The upstream regulator also disqualified the Oritsemeyin Rig from all renewal protocols in strict compliance with the applicable provisions of the law forthwith.

The NUPRC noted that this action is in line with the Petroleum Industry Act, 2021 which empowers the commission to ensure compliance with good oilfield and international best industry practices, operational safety and optimisation as well as promote technical excellence and preserve commercial and environmental sustainability.