Several licensees have formally asked to have their petroleum prospecting licenses converted to petroleum mining leases, according to the Nigerian Upstream Petroleum Regulatory Commission.
This, it was learnt, became necessary to prevent the expiration of about 40 PPLs granted in June 2022. The NUPRC made this known in a statement clarifying the position of the licences whose expiration date, according to a document on its website, was said to be June 27, 2025.
In the declaration, NUPRC Managing Director Gbenga Komolafe confirmed that the report was achieved by the Commission’s website, explaining that it could cause unnecessary panic and confusion within the upstream oil industry in Nigeria.
According to Komolafe, 40 PPLs were in various stages of exploration, evaluation and preliminary development as they checked the application. He explained that each stage has different regulatory requirements and schedules.
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The committee has revealed that the licenses mentioned in the oil density publications are available at various stages before exploration, assessment and development. Each level has different regulatory requirements and schedules.
“Some licensees have officially applied to convert PPL into contracts measuring oil, as required by the Petroleum Industry Act 2021. These applications are currently being checked,” he said.
NUPRC documents showed this month that around 40 oil licenses will be cancelled this month, except the necessary steps will be taken to prevent this.
According to the upstream concessions from the Petroleum Regulation Authority in May, licenses approved by various companies on June 28, 2022, will expire on June 27, 2025.
This includes licenses granted to the oil company’s oil brochure after completing the marginal field bid in 2020. NUPRC previously informed our correspondent that the law provided an extension of the option for either three or five years. However, expansion depends on the performance of the company.
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NUPRC data showed that the license for the operation of the Emohua field in OML 22 will expire through EOP Energy this month. EOP Energy similarly constitutes Eerbina Energy Resources Limited, Omega Butter Marignal Fields Ltd. and Intessa Energy Ltd. The Olua Field approval for Ardova Plc and Petrodev’s Olua Field has expired simultaneously from OML 25 to Ardogreen Energy.
