Nigeria is moving to revive dormant oil blocks in its upstream sector, with U.S.-based independent oil and gas firm Vaalco Energy expressing interest in acquiring stakes in Oil Mining Lease (OML) 145.
The Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, disclosed this in Abuja during a meeting with a Vaalco delegation led by Managing Director Pieter Van der Groen. According to his media aide, Nneamaka Okafor, the company is seeking regulatory clearance to re-enter Nigeria after years of absence.
Lokpobiri emphasized that the administration of President Bola Tinubu remains committed to making Nigeria one of the world’s most attractive oil investment hubs. He said government efforts are focused on creating favorable conditions for international oil companies (IOCs) and independents that previously exited the market.
“The government of President Bola Tinubu is particularly interested in creating a better environment for companies that were once here but left for various reasons to return. We are prepared to offer incentives comparable to the best available globally,” the minister said.
Vaalco, listed on the New York Stock Exchange, signaled plans to acquire Svenska Petroleum’s Production Sharing Contract (PSC) interest in OML 145. The block, located offshore Nigeria, has been inactive for several years due to regulatory hurdles and changes in ownership.
Van der Groen described Nigeria as a strategic investment destination and pledged significant capital commitments to boost production.
“We are here to seek regulatory guidance for acquiring Svenska’s interest in OML 145, but more importantly, to return to Nigeria and invest in a stronger way,” he stated. “As an NYSE-listed company, we have access to funding to develop the assets we acquire. We are not here to sit on them; we are here to produce.”
Welcoming the move, Lokpobiri stressed that returning firms are crucial to Nigeria’s push to increase crude output and meet national energy targets. He noted that Nigeria’s current petroleum framework now guarantees policy clarity, fiscal stability, and legal certainty, designed to support long-term investments.
The minister added that attracting credible investors to dormant oil assets is central to the government’s energy strategy.
“Your renewed presence will help us ramp up production and achieve our national energy objectives. Together, we can build a future of shared growth and prosperity,” he said.