The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has revealed that the country’s active oil rig count surged to 46 in July 2025, an impressive leap from 31 rigs in January and a staggering rise from just 8 rigs in 2021.
The development reflects growing momentum in Nigeria’s petroleum sector, fueled by bold reforms, rising investor confidence, and a renewed drive for energy security.
NUPRC Chief Executive, Gbenga Komolafe, made the announcement at a media workshop in Abuja, attributing the milestone to the effective implementation of the Petroleum Industry Act (PIA), signed into law in 2021, and the rollout of the ambitious Project One Million Barrels, which launched in October 2024. These strategic efforts, he said, have positioned Nigeria’s upstream oil industry for explosive growth, with the rig count increasing by 475 percent in just four years.
The sharp rise in rig activity is a key signal of Nigeria’s renewed drive to exploit its vast hydrocarbon reserves. Of the 46 rigs counted in July, 43 are fully operational and contributing to daily production, while others are warm-stacked or cold-stacked for future use. This rise comes at a critical moment, as Nigeria pushes toward a production target of 2.1 million barrels per day (bpd) by the end of 2025. The Project One Million Barrels initiative has already added 300,000 bpd to the nation’s output, raising current production levels to around 1.7 million bpd from a previous low of 1 million bpd.
Komolafe noted that the rig boom would not have been possible without critical reforms and policy incentives, including Executive Orders 40, 41, and 42 signed by President Bola Tinubu in 2024. These orders focus on fiscal incentives, cost efficiency, and increased local content participation, creating a more attractive and competitive investment climate for both local and international operators. The influx of billions of dollars in Final Investment Decisions (FIDs) is a testament to the renewed confidence in Nigeria’s upstream sector.
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The increase in rigs represents a turning point in Nigeria’s energy story. For years, the sector grappled with underinvestment, oil theft, pipeline vandalism, and declining output. With the rig count now surging and production steadily climbing, stakeholders see a clear path toward sustainable growth and increased revenue for the federal government. Komolafe emphasized that the oil and gas industry remains a “fact-based, cost-sensitive” sector, and Nigeria’s reforms have hit the right chords with global investors.
Still, challenges remain. While many rigs are active, some are still warm- or cold-stacked, pointing to the need for continued investment in infrastructure and fit-for-purpose drilling units. Additionally, Nigeria has yet to fully meet its OPEC production quota, and ongoing issues in the Niger Delta region, particularly security and logistics concerns, must be addressed to sustain gains and meet targets.
The NUPRC has expressed strong confidence in the country’s ability to meet and exceed its oil production targets. Komolafe underscored the Commission’s commitment to reducing unit production costs, streamlining contracting procedures, and building a transparent, investor-friendly regulatory environment. These efforts are expected to restore Nigeria’s status as one of Africa’s top oil producers and a key player in the global energy market.
The rapid growth from 31 to 46 rigs in just six months is not just a win for the petroleum sector, it’s a signal to the world that Nigeria is open for business. With robust policies in place and clear determination from stakeholders, the oil and gas industry is poised to play a central role in the country’s economic resurgence. The rig count surge shows a revitalized industry, and the outlook for Nigeria’s petroleum future has never been brighter.
