The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) is in discussions with TotalEnergies on its plan to focus on its offshore operations in Nigeria, the commission has said.
In a note on its social media handles, the NUPRC stated that discussions which involved advancing deep offshore exploration and production efforts by the oil company, took the centre stage at an engagement between both organisations in Abuja.
The International Oil Company (IOC) a few days ago reiterated its plan to exit onshore oil production in the Niger Delta to focus on deep offshore operations, following in the footsteps of Shell, Exxon Mobil and others.
During the meeting, the NUPRC added that other pivotal issues that border on the growth of the oil and gas industry in Nigeria were also discussed.
“These issues included incentivising deep drilling endeavours, necessitated by substantial financial commitments for field development in the deep offshore, the forthcoming bid round, slated to be unveiled at an appropriate time, and the imperative of meeting Domestic Crude Oil Supply Obligations (DCOSO),” it added.
It said that the commission’s Chief Executive, Gbenga Komolafe, while welcoming the TotalEnergies’ team, was emphatic on NUPRC’s determination to drive stability and inflow of investment into the Nigerian oil and gas sector.
During the meeting, the NUPRC said attention was also directed towards addressing the financial aspects of decommissioning and abandonment activities, crucial for ensuring sustainable practices in the sector.
In his remarks, the Managing Director of TotalEnergies, Mr Mathieu Bouyer, described his visit to the NUPRC as strategic.
He explained that it underscored his company’s commitment to collaborative partnerships towards fostering a thriving energy landscape in Nigeria.
Also, the NUPRC has said it is forging a partnership with S&P Global for sustainable global investment practice in Nigeria’s oil and gas industry.
The collaboration, it said, aims to advance the adoption of global best practices for divestment within the upstream oil and gas sector, especially at a time that the sector faces increasing scrutiny regarding its Environmental, Social, and Governance (ESG) performance.
Komolafe, during a meeting with officials of S&P Global at the NUPRC’s headquarters in Abuja, noted that the commission recognises the imperative for responsible investment strategies, hence the need for proactive steps to align its operations with international standards.
According to him, the partnership between the commission and S&P Global underscores NUPRC’s commitment to fostering transparency, accountability, and sustainability within Nigeria’s oil and gas landscape.
He added that NUPRC has already set out six criteria for divestment assessment, tailored towards comprehensive evaluation of environmental impact, social responsibility, governance practices, financial performance, labour relations and legal framework, amongst others.
In his remarks, the Executive Director, S&P Global, Mohammad Kudri was quoted as saying that the partnership underscored the pivotal role of Nigeria’s prime regulator in the oil and gas sector towards driving transformative changes.
Kudri also highlighted that embracing international best practices for divestment can navigate the transition towards a more resilient and sustainable energy future, to ensure the long-term prosperity of both the industry and the planet.