The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) is seeking to bolster the country’s crude oil production by urging the Bank of America to increase its funding and investment portfolios in the upstream oil sector. According to a statement by NUPRC spokesperson Eniola Akinkuotu, the commission’s Chief Executive Officer, Gbenga Komolafe, made this request during a courtesy visit by the Bank of America’s Managing Director and Head of Investment Banking Sub-Saharan Africa, Chuba Ezenwa, in Abuja.
The move is in line with the Petroleum Industry Act 2021, which mandates the commission to promote a favorable environment for investments in upstream petroleum operations and the development of Nigerian content in the petroleum industry. Despite a significant surge in oil production over the last 12 months, funding remains a major challenge for companies seeking to scale up their operations. Komolafe emphasized the need for the Bank of America to prioritize Nigeria’s upstream sector in its investment portfolio, highlighting the country’s rich hydrocarbon endowment and the commission’s efforts to optimize production.
Komolafe stated, “Nigeria is richly endowed with hydrocarbons, and we seek to optimize production. But funding is critical to our success. So, we are looking for areas of alignment with the Bank of America.” Ezenwa responded positively, attributing the recent increase in oil production to the commission’s leadership and reassuring that the Bank of America would continue to provide support.
The NUPRC’s call for increased investment comes as the country seeks to boost its oil production and revenue. With the Petroleum Industry Act 2021 providing a framework for the development of the petroleum industry, the commission is working to create an enabling environment for investments in the upstream sector. The potential partnership with the Bank of America could provide a significant boost to the industry, enabling companies to access the funding needed to scale up their operations and increase production.
The development of Nigeria’s upstream oil sector is crucial for the country’s economic growth and development. As the commission works to promote investments in the sector, the support of international financial institutions like the Bank of America will be essential in achieving its goals. With the commission’s efforts to optimize production and the Bank of America’s commitment to providing support, Nigeria’s oil production is poised for further growth and development.