The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has welcomed ExxonMobil’s commitment to invest $1 billion in the Usan Infill Project located in Oil Mining Lease (OML) 138, describing the development as a significant boost for Nigeria’s upstream petroleum sector

The announcement was made during the 25th NOG Energy Week Conference and Exhibition held on Wednesday, July 8, 2026.

The Managing Director of ExxonMobil affiliates in Nigeria, Jagir Baxi, announced that the investment will support drilling activities on the Usan field and is expected to increase crude oil production by 40,000 barrels per day.

According to the NUPRC, the investment is particularly significant because ExxonMobil’s Nigerian affiliate, Esso Exploration and Production Nigeria, has not carried out any drilling operations since 2016.

Commission Chief Executive, Mrs. Oritsemyiwa Eyesan, said the resumption of drilling signals renewed confidence in Nigeria’s deepwater assets.

“With Esso’s last drilling operation dating back to 2016, the resumption of drilling signals renewed potential and value in our deepwater acreage,” she said.

The Commission said renewed investments in deepwater exploration are critical to achieving Nigeria’s production targets, expanding hydrocarbon reserves, increasing government revenue, and strengthening investor confidence.

ExxonMobil also acknowledged the role played by the NUPRC and other government agencies in facilitating the project.

Esso Exploration and Production Nigeria operates OML 138, which contains the Usan field under a Production Sharing Contract with NNPC Limited.

Other partners in the block include Chevron, TotalEnergies, and Nexen, a wholly owned subsidiary of CNOOC.

The project has been described as a short-cycle investment, with first oil expected within 18 months after seismic studies identified the opportunity.

In a related development, the Commission presented Petroleum Prospecting Licences (PPLs) to successful companies from the 2022/2023 Mini Bid Round and the Nigeria 2024 Licensing Round.

Among the recipients were:

• Broron Energy Limited (PPL 2009)
• Petroli Energy Marketing and Supply Limited (PPL 269)
• Sahara Deepwater Resources Limited (PPL 270 and PPL 271)
• Tulcan Energy E&P Co (PPL 2008)

The Commission noted that companies whose representatives were absent would receive their licences at later dates.

According to the NUPRC, the licensing exercise produced­, covering deep offshore, shallow water, and continental shelf acreages.

The Commission said the awards demonstrate Nigeria’s continued commitment to attracting investment, accelerating exploration, expanding hydrocarbon reserves, and creating long-term value for the economy.