The Federal Government has issued a stern warning to companies holding oil field licences but failing to develop them, threatening to revoke such licences over prolonged inactivity. Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, made this known at a press briefing on Monday, stating that many firms were allotted oil assets they lacked the capacity to operate.
According to the minister, the government is reviewing all dormant fields and will soon take action against licensees who have failed to meet minimum development obligations. He stressed that the era of speculative ownership of oil blocks was over, adding that the government is determined to ramp up production to meet revenue and energy security targets.
Lokpobiri explained that the review aligns with President Tinubu’s push for increased oil output and foreign investment, noting that reassigning dormant fields to more capable operators will help unlock value and boost national earnings. He urged defaulting firms to either begin immediate development or face revocation.
