NOG 2026 Delivers $1bn ExxonMobil Investment, FLNG Gas Deal, 19 New Oil Licences in Boost for Nigeria’s Energy Sector

The second day of the 25th NOG Energy Week Conference and Exhibition in Abuja produced a series of landmark announcements that collectively reinforce Nigeria’s ambition to attract fresh upstream investment, expand crude oil production, accelerate gas commercialisation and strengthen its position as Africa’s leading energy investment destination.

Among the headline developments was ExxonMobil’s $1 billion investment in the Usan Infill Project in Oil Mining Lease (OML) 138, a new indigenous floating liquefied natural gas (FLNG) gas supply agreement led by NNPC Limited and Seplat Energy, the award of 19 Petroleum Prospecting Licences (PPLs) by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), and updates on Eni’s OPL 245 development programme.

ExxonMobil Commits $1 Billion to Deepwater Expansion

Esso Exploration and Production Nigeria (Offshore East) Limited (EEPN(OE)L), an affiliate of ExxonMobil, announced that it has commenced on-block activities for the Usan Infill Project, representing a $1 billion investment expected to increase Nigeria’s deepwater crude oil production by up to 40,000 barrels per day.

Speaking at the conference, ExxonMobil Nigeria Chairman and Managing Director, Jagir Baxi, said the investment demonstrates the company’s long-term confidence in Nigeria’s upstream sector.

“The start of the Usan Infill Project reflects ExxonMobil’s continued focus on developing our deepwater portfolio in Nigeria. By applying advanced technology and leveraging our proven execution capabilities, we aim to safely and efficiently increase production while supporting Nigeria’s economic development,” Baxi said.

He also acknowledged the Federal Government’s policy and regulatory reforms, which have improved the investment climate for deepwater oil and gas projects, and commended the support of the NUPRC, NNPC Limited, the Nigerian Content Development and Monitoring Board (NCDMB), and the project’s co-venture partners.

The Usan Field, located in OML 138, is operated by Esso Exploration and Production Nigeria under a Production Sharing Contract with NNPC Limited. Its partners include Chevron, TotalEnergies and Nexen, a wholly owned subsidiary of CNOOC.

Designed as a short-cycle development, the project is expected to deliver first production within 18 months after seismic data identified the investment opportunity.

NUPRC: Investment Signals Renewed Confidence

Responding to the announcement, NUPRC Chief Executive Oritsemyiwa Eyesan described the project as a significant vote of confidence in Nigeria’s offshore petroleum industry.

She noted that ExxonMobil’s Nigerian affiliate had not undertaken drilling activities since 2016, making the investment particularly noteworthy.

“With Esso’s last drilling operation dating back to 2016, the resumption of drilling signals renewed potential and value in our deepwater acreage,” Eyesan said.

She added that the Commission remains committed to advancing deepwater developments that will increase production, grow reserves, sustain government revenues and enhance investor confidence.

NUPRC Awards 19 New Petroleum Prospecting Licences

In another major development, the NUPRC formally presented Petroleum Prospecting Licences to successful bidders from the 2022/2023 Mini Bid Round and the 2024 Licensing Round.

The exercise covered 12 successful awardees across 19 Petroleum Prospecting Licences, spanning deep offshore, shallow water and continental shelf acreages.

Companies receiving licences included Broron Energy Limited, Petroli Energy Marketing and Supply Limited, Sahara Deepwater Resources Limited and Tulcan Energy E&P Company Limited.

According to the Commission, the awards form part of Nigeria’s broader strategy to stimulate exploration, expand hydrocarbon reserves, attract long-term investment and create sustainable economic value.

NNPC, Seplat Sign Landmark Indigenous FLNG Gas Supply Deal

The conference also witnessed the execution of a 15-year wet gas sale and purchase agreement between NNPC Limited and Seplat Energy Producing Nigeria Unlimited to supply 200 million standard cubic feet of gas per day (200 MMscf/d) to the UTM Floating LNG project—Nigeria’s first indigenous floating liquefied natural gas development.

The agreement was signed by NNPC Group Chief Executive Officer Bashir Bayo Ojulari, Seplat Energy CEO Roger Brown, and UTM FLNG Managing Director Julius Rone.

Additional agreements were executed with Ajaokuta Steel Company Limited, Chevron Nigeria Limited, AGPC and NNPC Exploration & Production Limited to strengthen gas supply, transportation and distribution infrastructure.

Ojulari described the agreements as a major step towards implementing the Federal Government’s gas-based industrialisation agenda.

“This is not just about signing agreements; it is about igniting the engine of Nigeria’s industrialisation,” he said.

“Gas is the key. It is a source of revenue and profit, and the hydrocarbon resource with the greatest potential to transform Nigeria’s industrial economy.”

He added that the agreements establish a transparent and standardised framework for nationwide gas utilisation while creating additional domestic supply capacity, enhancing energy security and supporting Nigeria’s ambition to become a global industrial hub.

The project is expected to support financing activities ahead of a targeted Final Investment Decision (FID) by the end of 2026.

Eni Targets OPL 245 Investment Decision

Italian energy company Eni also announced that it expects to reach a Final Investment Decision (FID) on the long-awaited OPL 245 project by December 2026, signalling continued momentum for one of Nigeria’s most significant offshore developments.

Renaissance Calls for Better Gas Value Chain Coordination

Managing Director and Chief Executive Officer of Renaissance Africa Energy Company Limited, Tony Attah, urged governments, investors and industry players to improve coordination across Africa’s gas value chain to unlock the continent’s energy potential.

According to him, Africa’s challenge is not the availability of gas resources but ensuring that production, infrastructure, financing and markets are effectively aligned.

“Africa does not have a gas resource problem. What we must solve is a delivery and coordination challenge,” Attah said.

He stressed that energy security should be measured by the ability to deliver reliable, affordable and accessible energy rather than by the volume of natural resources underground.

Attah also called for predictable regulatory frameworks capable of attracting global investment.

“Capital is available globally. What investors seek is clarity, predictability and confidence in execution. The more aligned our policies, commercial frameworks and market structures become, the more investment we will attract.”

Nigeria Strengthens Energy Investment Narrative

Taken together, the announcements made at NOG 2026 point to growing confidence in Nigeria’s energy sector, supported by ongoing regulatory reforms, strategic partnerships and increasing investment commitments.

From ExxonMobil’s renewed deepwater drilling programme and Eni’s OPL 245 timeline to NUPRC’s licensing awards and Nigeria’s first indigenous FLNG gas supply framework, the conference showcased a coordinated push to expand production, commercialise gas resources, attract international capital and position Nigeria as a globally competitive energy investment destination.