The Minister of State for Petroleum Resources (Oil), Mr. Heineken Lokpobiri, has issued a firm warning to oil and gas investors, stressing that petroleum licence in Nigeria must be backed by active development. According to him, licences are not assets to be warehoused or held for speculative gains.
Speaking on the government’s expectations, Lokpobiri made it clear that operators must move swiftly from licence acquisition to actual drilling. Otherwise, they risk losing their rights. He emphasized that Nigeria can no longer afford delays in upstream development, especially at a time when the country seeks to boost crude oil production and strengthen energy security.
He noted that the Federal Government remains committed to creating an enabling environment for serious investors. However, that commitment comes with clear responsibilities. Licence holders must demonstrate technical capacity, financial readiness, and a genuine intention to develop awarded assets.
Furthermore, the minister explained that speculative holding of licences deprives the nation of much-needed revenue, jobs, and investment opportunities. It also slows sector growth and undermines broader economic goals. Therefore, regulators will intensify monitoring and enforcement to ensure compliance with the petroleum licence terms.
Lokpobiri also linked the warning to the objectives of the Petroleum Industry Act (PIA). He said the law prioritises efficiency, transparency, and timely project execution. As a result, operators who fail to meet work programme commitments will face sanctions, including licence revocation.
In conclusion, the minister urged investors to align with Nigeria’s energy development agenda. He reaffirmed that the era of licence hoarding is over. Going forward, only serious operators willing to drill, produce, and add value will retain their place in Nigeria’s oil and gas sector.
