Nigeria’s upstream petroleum sector is showing renewed momentum, with higher rig deployment and further progress on the multibillion dollar Bonga South West Aparo deepwater project.
Data from the Nigerian Upstream Petroleum Regulatory Commission showed the country’s total rig count at 73 in March 2026, compared with 72 in January and February.
The figure represented a substantial increase from the corresponding period of the previous year.
Land based operations accounted for 52 rigs, while offshore activity rose to 12 rigs and swamp operations remained at nine.
The regulator’s figures, however, distinguish between the number of rigs present in the country and those actively drilling.
Of the 73 rigs recorded in March, 31 were active, while others were on standby, stacked or being mobilized.
That distinction is important because the 52 rig figure refers specifically to land based rigs rather than 52 rigs actively drilling.
The increase in activity comes as NNPC Limited and its partners advance work on the Bonga South West Aparo development in Oil Mining Lease 118.
NNPC recently signed key agreements with Shell Nigeria Exploration and Production Company, Esso Exploration and Production Nigeria Deepwater and Nigerian Agip Exploration.
The agreements are intended to move the project toward a Final Investment Decision.
Bonga South West Aparo is expected to require investment estimated at between $15 billion and $21 billion over its lifespan.
At peak production, the development is projected to produce about 175,000 barrels of oil per day and 140 million standard cubic feet of gas daily.
The project has completed its pre Front End Engineering Design stage and a preferred contractor has been selected for the floating production storage and offloading facility.
Further progress remains subject to regulatory, commercial and investment approvals.
NNPC Group Chief Executive Officer Bayo Ojulari has said recent petroleum sector reforms generated more than $34 billion in new investment commitments.
He has also argued that new deepwater incentives could unlock additional investments in projects including Bonga South West, Zabazaba and Owowo.
The current rise in rig deployment does not by itself guarantee future production growth, but it indicates increased operational activity.
If large projects proceed to final investment and execution, the potential benefits include higher crude output, foreign exchange earnings, employment, local content opportunities and increased government revenue.
Nigeria is targeting crude oil production of three million barrels per day by 2030, making sustained investment in exploration and development central to that ambition.
