The Petroleum Technology Association of Nigeria (PETAN) is optimistic about the forthcoming 2024 oil bidding round, predicting that the nation’s recently enacted Petroleum Industry Act (PIA) will play a pivotal role in its success. Wole Ogunsanya, PETAN’s Chairman, shared this insight during the Offshore Technology Conference (OTC) in Houston, Texas.
During the conference, Gbenga Komolafe, the Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), unveiled plans to offer 19 blocks for purchase, including significant deep-water assets, to both local and international investors.
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Ogunsanya emphasized the transformative potential of the PIA, highlighting its role in enhancing transparency and accountability within Nigeria’s oil and gas sector. He underscored the PIA’s capacity to streamline investment processes, thereby bolstering investor confidence and facilitating clear returns on investments.
“We anticipate a successful bid round, especially for deep-water assets where significant investments are expected,” Ogunsanya remarked, commending NUPRC’s efforts to attract the right investors.
Beyond the oil and gas sector, Ogunsanya underscored the broader economic implications of creating an investment-friendly environment. He noted the potential for revenue generated from the bidding round to be channeled into critical infrastructure development, ultimately benefiting Nigeria’s economy and quality of life for its citizens.
Furthermore, Ogunsanya highlighted the government’s adoption of reasonable signature bonus charges as a strategic move to incentivize investment and stimulate economic growth.
Expressing PETAN’s unwavering commitment to the bidding round’s success, Ogunsanya lauded the dedication of its executive members in meticulously addressing all facets of the conference and supporting Nigeria’s oil and gas industry.
