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Invest in Nigeria Session at AEW 2026 Targets Production Growth, Offshore Expansion and Idle Asset Revival
Nigeria's crude oil production hit 1.56 million bpd in June 2026, a six-year high that pushed the country past its OPEC quota for the second consecutive month. ExxonMobil declared FID on a $1 billion deepwater infill campaign at Usan, its first major drilling commitment in Nigerian waters since 2016. Meanwhile, 143 companies submitted bids for 50 blocks in the latest licensing round, with winners announced in July. The Invest in Nigeria session at African Energy Week (AEW) 2026, taking place October 12-16 in Cape Town, will examine how Nigeria can convert that recovery into sustained production growth, increased offshore exploration and better utilization of existing assets.
The regulatory and fiscal framework underpinning this momentum will be a central focus of the AEW session. The Petroleum Industry Act (PIA), passed in 2021, has reshaped the investment landscape by reducing signature bonuses in the latest licensing round to between $3 million and $7 million. The NUPRC has also moved to enforce a “drill or drop” approach to idle acreage, requiring operators to move assets toward production or relinquish them. The 50 blocks on offer span onshore, shallow-water, frontier and deepwater terrain, and the regulator expects the round to attract $10 billion in investment and add 400,000 bpd of production when the assets are fully developed. The session will explore the partnerships needed to translate that pipeline into barrels.
Deepwater is where the biggest capital commitments are concentrating, and the Invest in Nigeria session will bring together the operators and investors driving that expansion. Beyond Usan, ExxonMobil is progressing the $7 to $8 billion Owowo project toward an FID as early as 2027, with roughly 1 billion barrels of recoverable resource. Shell is advancing Bonga North and Bonga South West, a combined investment of approximately $20 billion. The pattern across major IOCs is a pivot from onshore and shallow-water divestment toward deepwater re-engagement, with indigenous operators stepping into the onshore assets those companies are leaving behind. Local content participation has increased from less than 5% before the 2010 Nigerian Oil and Gas Industry Content Development Act to more than 61% today.
“Nigeria used to be a country where IOCs were packing up. Now you have ExxonMobil putting a billion dollars into deepwater, Shell lining up $20 billion in Bonga, and an impressive licensing round changing the conversation. The Nigeria discussions at AEW have to be about how we keep that going and make sure indigenous operators grow alongside the majors,” says NJ Ayuk, Executive Chairman of the African Energy Chamber.
The Invest in Nigeria session takes place as part of African Energy Week 2026, October 12-16 at the Cape Town International Convention Centre. To find out more and register, visit www.aecweek-registration.com/2026.