Upstream Regulator Oversees Conversion Of Prospecting To Mining Licence 66

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has successfully overseen the conversion of Petroleum Prospecting Licence (PPL) 202 to Petroleum Mining Lease (PML) 66, an achievement that reinforces Nigeria’s standing as a prime destination for both local and international oil and gas investors.

This milestone signifies the successful transition of a key asset and highlights the transformative potential of the Petroleum Industry Act (PIA) 2021.

The Commission’s chief executive (CCE), Engr. Gbenga Komolafe made these remarks on Friday at the Signing Ceremony of Petroleum Mining Lease (PML) 66 between lngentia Energies and its shareholders in Abuja.

Describing the event as a significant step in implementing the PIA, the CCE explained that the signing of PML 66 represents the first-ever conversion of a PPL to a PML from the 2020 Marginal Field Bid Round.

The holders of PPL 202 are Suntrust Oil Company Nigeria Limited, Petrogas Energy Trade W.A Ltd, Somora GTP Limited, Moore Oil Exploration & Production Nig Ltd, and Genesis Hydrocarbons Limited.

Engr. Komolafe remarked, “This milestone achievement follows the successful commercial discovery of hydrocarbons in the field and the subsequent conversion of the asset in accordance with Section 81(1) of the Petroleum Industry Act. This development clearly demonstrates the bid round’s value and our upstream sector’s resilience.”

“The conversion of PPL 202 to PML 66 further reflects the hard work and determination of the licensees, as well as the guidance provided by this Commission as a business enabler. More importantly, it signals domestic and international investors that Nigeria remains a top destination for oil and gas investments, supported by regulatory clarity, commercial viability, and operational excellence.”

The NUPRC boss commended the holders of PPL 202, Suntrust Oil Company Nigeria Limited, Petrogas Energy Trade W.A Ltd, Somora GTP Limited, Moore Oil Exploration & Production Nig Ltd, and Genesis Hydrocarbons Limited, for their diligence, professionalism, and dedication in fulfilling their work programs and obligations under their license, which paved the way for this conversion.

Komolafe stressed that PML 66 is not merely another lease but rather marks the beginning of a new chapter in Nigeria’s oil and gas landscape.

He emphasised, “This underscores the transformative potential of the reforms we have implemented and the shared vision for a more efficient, competitive, and sustainable upstream petroleum industry.”

The CCE also urged other awardees to emulate the exemplary standards demonstrated by the holders of PML 66.

“I also urge them to maintain this positive momentum and ensure that the benefits of this development extend beyond corporate boardrooms to the Nigerian people, in the form of jobs, capacity building, technology transfer, and enhanced revenues for shared prosperity,” he added.

The managing director of Ingentia Energies, Olajumoke Ajayi, expressed her gratitude to the Commission’s management for their unwavering support and guidance throughout the journey.

She described the signing as a significant achievement for Ingentia, one that the company is proud of, noting that it marks a new chapter in both the history of Nigeria and Ingentia as an indigenous firm.

“This significant achievement marks a new chapter in the company’s growth story and solidifies Ingentia Energies’ position as a rising force in Nigeria’s oil and gas sector. The company’s leadership acknowledged the crucial role played by both shareholders and staff in reaching this milestone.”

“Ingentia Energies Limited is now poised to take its oil and gas operations to the next level, having successfully converted its Petroleum Prospecting Licence (PPL) to a Petroleum Mining Lease (PML). With this development, the company is now focused on delivering sustainable growth and long-term value.”

She added, “Once again, the CCE, we assure you that this job will be done. As we speak, our rig is on its way. We have two wells to drill back-to-back, and we have about three plans for next year. A well is producing between 2,000 to 2,500 barrels per day. The other wells we are bringing online should contribute another 2,000 to 2,500 barrels, and by the end of the first quarter next year, we expect to increase our production by 7,500 barrels.”

The team expressed appreciation for President Bola Tinubu’s leadership in opening the country’s oil and gas sector to further opportunities. Ingentia Energies further pledged to support the Commission’s efforts to raise oil production by an additional 1 million barrels per day, a project launched in 2024.