‘Drill Or Drop’: NUPRC Warns Licencees To Develop Assets Or Risk Forfeiture

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has warned newly awarded Petroleum Prospecting Licence (PPL) holders to develop their assets or face forfeiture under the Petroleum Industry Act’s “drill or drop” provision.

The NUPRC chief executive, Oritsemeyiwa Eyesan, speaking during the signing ceremony for winners of the 2022/2023 Mini Bid Round and the 2024 Licensing Round in Abuja on Friday said that licencees must execute approved work programmes diligently and meet their financial and statutory obligations.

She said the Commission expects licence holders to “honour your financial commitments, comply fully with the provisions of the PIA, the applicable regulations and these contractual documents,” adding that they must uphold high standards of health, safety and environmental protection.

Eyesan said licencees should also engage responsibly with host communities and set up Host Community Development Trusts (HCDTs) as required, warning that failure to do so could affect their licences.