Nigeria’s oil exploration recorded a 45 per cent month-on-month decline in February 2026, largely due to reduced upstream activities.

Data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) showed that the country’s rig count , a key indicator of oil and gas exploration, fell to 22 in February, down from 40 in January 2026.

Although the commission did not provide an official explanation for the drop, industry observers linked it to a slowdown in exploration activities during the period.

Further figures revealed that the number of standby rigs increased significantly to 25 in February from 11 in January, while the overall rig count remained at 72.

Reacting to the development, energy analyst Bala Zakka of Port Harcourt said ongoing contract negotiations are expected to stimulate upstream activities in the coming months, particularly drilling operations once agreements are concluded.

The National President of the Oil and Gas Services Providers Association of Nigeria, Colman Obasi, also stressed the need for increased upstream investment to drive exploration, boost discoveries, and grow national reserves.

Meanwhile, the NUPRC has reiterated its commitment to intensifying exploration activities across the country.

The Commission Chief Executive, Oritsemeyiwa Eyesan, said the regulatory framework now ensures that operators either develop allocated assets or relinquish them, in line with Section 94 of the Petroleum Industry Act (PIA), a policy commonly referred to as “drill or drop.”

She noted that enforcement of this provision has attracted stronger investor interest in the ongoing 2025 licensing round, which is expected to contribute to an increase in Nigeria’s petroleum reserves.

Eyesan added that the policy has reduced uncertainties in the sector and opened more opportunities for both small and large operators, citing the availability of new assets and plans for regular licensing rounds.

According to her, 50 oil blocks are on offer in the 2025 licensing round, with strong participation recorded during the pre-qualification stage, indicating robust investor appetite.