By Editor

Nigeria LNG Limited (NLNG) has marked the end of an era with a symbolic sendoff in Abuja for its Managing Director and Chief Executive Officer, Philip Mshelbila, whose four-year tenure reshaped the company’s strategy at one of the most turbulent moments in the global energy industry.

Mshelbila formally exits NLNG on December 31 to assume office as Secretary-General of the Gas Exporting Countries Forum (GECF) in Doha, Qatar, a move that elevates a Nigerian energy executive to the forefront of global gas diplomacy. In his place, the NLNG Board of Directors has approved the appointment of Engr. Adeleye Falade as Managing Director/Chief Executive Officer, effective April 2026. Falade joins NLNG from Brunei LNG, where he currently serves as MD/CEO, bringing deep international LNG operational experience to the company.

The Abuja ceremony drew NLNG directors, executives of shareholder companies, senior public sector officials, energy industry leaders, and representatives of management and staff—an indication of the strategic weight of Mshelbila’s stewardship.

Speaking at the event, NLNG’s Deputy Managing Director, Olakunle Osobu, described Mshelbila as a rare blend of professional depth and strategic clarity, noting that his background spans medicine, environmental health, business leadership, and global energy engagement. According to Osobu, Mshelbila assumed office at a time when NLNG was confronting overlapping crises: the economic aftershocks of COVID-19, devastating floods that damaged critical gas infrastructure, persistent pipeline vandalism, and repeated force majeure declarations by gas suppliers. These domestic challenges were compounded by global energy market disruptions triggered by the Russia–Ukraine war.

“Yet,” Osobu said, “his response was not retrenchment but transformation.”

A defining pillar of Mshelbila’s legacy was a decisive shift in NLNG’s feed-gas strategy. Recognising the risks of over-reliance on shareholder joint-venture gas supplies, he championed a bold diversification drive. In August 2025, NLNG signed long-term Gas Supply Agreements (GSAs) with six third-party gas suppliers, securing an estimated 1,290 million standard cubic feet per day of feed-gas. The move marked a historic departure from NLNG’s traditional supply model and significantly strengthened the company’s resilience and long-term sustainability.

Beyond supply security, Mshelbila drove a broader transformation agenda focused on emissions reduction, environmental stewardship, and operational safety. Osobu noted that the outgoing MD inspired a renewed workforce commitment to innovation and sustainability, laying foundations for future value creation in a rapidly evolving energy landscape.

Echoing these sentiments, NLNG’s General Manager, External Relations and Sustainable Development, Sophia Horsfall, praised Mshelbila’s leadership style and foresight. “You led with humility but inspired excellence. You carried immense challenges with calm resolve and charted a path toward sustainability long before it became fashionable”, she said

In his response, Mshelbila thanked NLNG’s shareholders, Board, employees, and industry partners for their support, describing NLNG’s culture of innovation and excellence as a defining strength he would carry into his new role. As Secretary-General of GECF, he said, his focus would be on strengthening cooperation between gas-producing and gas-consuming nations and advancing natural gas as a reliable and sustainable energy source in the global transition.

With Falade’s appointment, NLNG signals continuity in global outlook and operational discipline, even as the company prepares for its next phase. For Mshelbila, the transition marks not just the end of a corporate tenure, but the start of a broader role shaping the future of gas on the world stage.

By Editor

The Federal Government of Nigeria has reduced the signature bonus for oil blocks in the 2025 licensing round to between $3 million and $7 million, down from the previously approved $10 million, as part of efforts to lower entry barriers and attract more investors.

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) disclosed this in an update published on its website, noting that the revised figures were approved by the Minister of Petroleum.

“Interested in one of the oil blocks listed for the 2025 Licensing Round? The Nigerian government has graciously reduced the signature bonus to between $3m and $7m,” the commission stated.

“All bidders shall be required to submit a bid within this range as approved by the minister for the reduction of entry barriers.”, it added.

The reduction represents a further cut from the 2024 adjustment, when the Federal Government slashed signature bonuses from as high as $200 million to $10 million. At the time, the Chief Executive of NUPRC, Gbenga Komolafe, said the commission benchmarked Nigeria’s fiscal terms against peer jurisdictions such as Brazil and concluded that a significant reduction was necessary to improve competitiveness.

A signature bonus is a non-refundable payment made by a contractor to the government upon the signing of a petroleum agreement. Companies awarded oil or gas assets are required to pay the bonus before commencing operations.

Under the revised structure, deepwater assets—which previously attracted a $10 million signature bonus—will now require up to $7 million, while shallow water and onshore assets have been reduced to as low as $3 million.

The commission also clarified that signature bonuses must be paid in United States dollars. “The designated signature bonus account is United States dollar-denominated,” the NUPRC said.

According to the regulator, successful bidders in the 2025 licensing round will be issued a Petroleum Prospecting Licence (PPL). The licence grants the holder the exclusive right to drill exploration and appraisal wells, the non-exclusive right to conduct petroleum exploration activities within the licensed area, and the right to dispose of hydrocarbons produced during testing.

The licence will have an initial duration of three years, with a possible three-year extension for onshore and shallow water assets, while deepwater and frontier acreages will have an initial tenure of five years.

The NUPRC added that the licensing round will follow a two-stage bidding process, comprising a qualification stage and a bid stage.

The qualification stage will involve the submission and evaluation of applications by interested companies or consortia, after which only shortlisted bidders will proceed to the bid stage and execute a confidentiality agreement.

At the bid stage, shortlisted applicants will submit technical and commercial bids in line with the applicable regulations, guidelines, and bidding documents.

The commission also warned that no bidder—whether acting alone or as part of a consortium—may apply for more than two assets in total across all applications.

By Ambrose Nnaji

NNPC E&P Limited (NEPL), the flagship upstream subsidiary of NNPC Limited, has recorded a historic production milestone, achieving a daily output of 355,000 barrels of oil per day (bpd) — its highest level since 1989.

The achievement marks a major breakthrough for Nigeria’s upstream oil and gas sector and underscores the impact of sustained reforms, operational discipline, and strategic asset management within the national oil company’s exploration and production arm.

Data from the company show that NEPL’s transformation has been both rapid and measurable. Average daily production rose by 52 per cent, increasing from 203,000 bpd in 2023 to 312,000 bpd in 2025. The latest peak output of 355,000 bpd reflects the culmination of this growth trajectory and positions NEPL as a critical driver of Nigeria’s production recovery.

Industry analysts note that the milestone is not the result of short-term interventions, but of a deliberate strategy focused on operational excellence, structured field development, and strengthened asset integrity. After years of volatility in Nigeria’s upstream sector, NEPL’s performance demonstrates that sustained output growth is achievable with the right leadership, systems, and workforce alignment.

Beyond the numbers, the record production provides tangible momentum toward Nigeria’s national oil production ambitions. Presidential targets of reaching 2 million barrels per day by 2027 and 3 million barrels per day by 2030 have often been viewed as aspirational. NEPL’s delivery, however, offers concrete evidence that these goals are increasingly attainable.

Commenting on the development, Group Chief Executive Officer of NNPC Limited, Engr. Bashir Bayo Ojulari, described the milestone as clear proof that Nigeria’s energy sector revival is already underway.

“By exceeding its own production benchmarks, NEPL has confirmed that the essential building blocks for scaling national output are being firmly established. This achievement demonstrates that Nigeria’s production machinery — equipment, processes, capabilities, and partnerships — can be operated with commercial discipline to deliver real and positive outcomes”, Ojulari said.

He added that the record performance strengthens confidence both locally and internationally, assuring partners and investors that Nigeria remains committed to its role as a reliable energy supplier in the global market.

Also speaking, Executive Vice President, Upstream, NNPC Limited, Udy Ntia, stressed that the significance of the achievement goes beyond the headline figure of 355,000 bpd.

“In an industry where shortcuts can deliver short-term gains but cause long-term damage, NEPL is making a different statement. Sustainable growth must be anchored on responsible operations. Scaling production should never come at the expense of worker safety, community wellbeing, or environmental protection”, Ntia said.

According to him, NEPL’s approach reflects a broader shift from extraction at all costs to sustainable value creation — a standard increasingly demanded of modern energy companies seeking global relevance and long-term competitiveness.

Managing Director of NEPL, Nicolas Foucart, also linked the record output to the wider transformation taking place across NNPC Limited. He attributed the performance to clear leadership direction, strong partnerships founded on accountability, and a workforce committed to delivering measurable results.

“This is a story shaped by leadership that sets a clear course, partnerships built on alignment, and people whose dedication is turning strategy into performance. Our people, processes, and principles are the true engines behind this success. We are building for tomorrow, not just celebrating today”, Foucart said.

He noted that the implications of the milestone extend far beyond higher production figures. For Nigeria, increased output translates into improved national revenue, enhanced energy security, and a more resilient economic base at a time of global energy uncertainty.

“NEPL has not only produced more hydrocarbons; it has helped restore confidence in what Nigeria’s energy sector can achieve when the right systems, culture, and discipline are in place,” he added.

As Nigeria continues efforts to stabilise and grow its oil and gas industry, NEPL’s record-setting performance stands as a strong signal that the upstream sector is regaining its footing — and that sustained production growth is once again within reach.