The Commission Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Mrs Eyesan Oritsemeyiwa, has revealed that ongoing geopolitical tensions in the Middle East have removed about 10 million barrels of oil from the global market.
Oritsemeyiwa disclosed this at the 10th Africa Energy Summit, themed “Scaling Innovation, Financing and Industrial Capacity for Africa’s Energy Security,” held alongside the Offshore Technology Conference (OTC) in Houston, Texas.
She explained that the disruption has created a significant supply gap, reversing earlier conditions where global supply exceeded demand. According to her, the development has intensified concerns over energy security as countries seek alternative sources to fill the shortfall.
“The removal of about 10 million barrels from the market has created a supply gap, and the key question now is where that deficit will be filled from,” she said.
Oritsemeyiwa noted that many traditional oil-producing regions are currently struggling with declining output, limiting their ability to respond effectively to the disruption. However, she pointed to Africa as a growing alternative, supported by fresh discoveries and vast untapped reserves.
She said the continent holds an estimated 225 billion barrels of oil and about 625 trillion cubic feet of gas, accounting for roughly 10 per cent of global reserves. Unlocking these resources, she added, will require sustained reforms and investor-friendly policies across African nations.
In Nigeria, she highlighted the impact of the Petroleum Industry Act (PIA), enacted in 2021, describing it as a turning point for the country’s oil and gas sector. The law, she said, has improved fiscal clarity, strengthened regulation, and boosted transparency, helping to restore investor confidence.
After years of declining upstream investment from about $15 billion annually to below $7 billion Nigeria is now witnessing a recovery, with several major projects reaching final investment decisions.
Oritsemeyiwa added that the NUPRC approved 48 field development plans in the past year, while recent licensing rounds offering about 50 oil blocks attracted nearly 300 expressions of interest from investors.
Despite this progress, she identified infrastructure deficits, especially in gas development, as a key challenge. Nigeria, which holds about 215 trillion cubic feet of Africa’s gas reserves, is investing in pipeline infrastructure to enhance domestic supply and support regional energy demand.
She noted that the Nigerian National Petroleum Company Limited (NNPC Ltd.) is advancing major gas pipeline projects to connect production hubs in the Niger Delta to wider markets.
Oritsemeyiwa stressed that Africa’s rising population and industrialization make it critical to harness its energy resources efficiently. She also disclosed that regulators across the continent are strengthening collaboration to improve the investment climate and remove barriers to growth.
“Africa is open for business. The resources are abundant, and the regulatory frameworks are improving to support sustainable investment,” she said.
