Nigeria’s oil exploration activity declined sharply by 45% month-on-month in February 2026, reflecting reduced upstream operations, according to the Nigerian Upstream Petroleum Regulatory Commission.
Data from the regulator showed that the country’s rig count — a key measure of oil and gas activity — fell to 22 in February from 40 recorded in January. Despite the drop, the total rig count remained unchanged at 72.
While no official explanation was given, industry sources linked the decline to a slowdown in exploration activities. Supporting this trend, the number of idle rigs rose significantly to 25 in February, up from 11 in the previous month.
Reacting to the development, Port Harcourt-based energy analyst Bala Zakka noted that ongoing contract negotiations could revive activity soon. He expressed optimism that upstream operations, including drilling, would pick up in the second quarter once agreements are finalized.
Also commenting, Colman Obasi, National President of the Oil and Gas Services Providers Association of Nigeria, stressed the need for increased investment in upstream operations to boost exploration and expand reserves.
Meanwhile, the NUPRC has reaffirmed its commitment to ramping up exploration across the country. Its Chief Executive, Oritsemeyiwa Eyesan, emphasized that operators can no longer hold oil blocks without development.
She pointed to the “drill or drop” provision under the Petroleum Industry Act, which requires companies to either begin exploration activities or relinquish their licences.
According to Eyesan, strict enforcement of this policy has already attracted more serious investors to the ongoing 2025 licensing round, where 50 oil blocks are on offer. She added that the reforms are reducing uncertainty in the sector and could pave the way for more frequent bid rounds.
The Commission also expressed confidence in growing investor interest, signaling potential improvements in exploration activity and reserve growth in the near future.
