Nigeria’s oil reserves declined slightly at the start of 2026 while its natural gas resources expanded, official data showed on Wednesday, underscoring the country’s gradual shift toward a more gas-driven energy strategy.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) said the country’s total oil and condensate reserves stood at 37.01 billion barrels as of January 1, 2026, down marginally from the previous year, while total gas reserves rose to 215.19 trillion cubic feet.
The updated figures, released in Abuja, reflect what regulators described as the impact of sustained crude production, limited additions to oil reserves, and stronger momentum in gas discoveries and reservoir development.
“The Nigerian Upstream Petroleum Regulatory Commission, in keeping with its mandate, is committed to improving upstream sector performance, enhancing the growth of oil and gas reserves, and ensuring stable production for shared prosperity,” the commission’s chief executive, Oritsemeyiwa Eyesan, said in a statement.
According to the commission, Nigeria’s 2P crude oil reserves stood at 31.09 billion barrels, while condensate reserves were estimated at 5.92 billion barrels, bringing the total combined oil and condensate position to 37.01 billion barrels.
On the gas side, associated gas reserves were put at 100.21 trillion cubic feet, while non-associated gas reserves reached 114.98 trillion cubic feet, taking total gas reserves to 215.19 trillion cubic feet.
The commission said the country’s reserves life index — a measure of how long reserves would last at current production rates — stood at 59 years for oil and 85 years for gas.
The latest update showed Nigeria’s oil and condensate reserves declined by 0.74 percent, a drop the commission attributed largely to production during 2025 and routine reserves revisions based on field performance and technical studies.
Gas reserves, by contrast, rose by 2.21 percent, which regulators linked to new discoveries and improved technical assessments of existing fields.
“The reason for the increase in associated gas and non-associated gas reserves is largely because reserves update is based on discoveries and the result of robust reservoir studies,” Eyesan said.
The figures highlight a growing divergence in Nigeria’s hydrocarbon profile, as Africa’s largest crude producer by reserves increasingly places greater strategic emphasis on natural gas.
Successive governments have promoted gas as a transition fuel capable of supporting power generation, industrial growth, export earnings and cleaner energy goals, especially as global pressure mounts on oil-dependent economies to adapt to lower-carbon energy systems.
Nigeria’s federal government has in recent years pushed its “Decade of Gas” initiative, aimed at deepening domestic gas use, expanding gas infrastructure and attracting investment into upstream and midstream projects.
Analysts say the latest reserves data reinforce that policy direction, even as crude oil remains central to public finances and foreign exchange earnings.
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Despite the modest decline, Nigeria’s 37 billion-barrel oil reserve base remains among the largest on the African continent, helping preserve its standing as a major energy producer even as output challenges, underinvestment and theft continue to weigh on the sector.
Its expanding gas position also strengthens Nigeria’s place among the world’s largest holders of natural gas resources, with policymakers increasingly seeking to leverage that advantage for domestic development and export growth.
The NUPRC said the Petroleum Industry Act (PIA) 2021, which overhauled the regulatory framework for the oil and gas sector, is expected to play a key role in improving reserves growth and investor confidence.
The law was designed to make the sector more competitive and transparent, while encouraging fresh exploration, better data management and more efficient licensing and asset development.
For Nigeria, the latest reserves review points to a sector still anchored in oil but gradually rebalancing toward gas, as officials seek to sustain hydrocarbon revenues while positioning the country for a changing global energy landscape.
The challenge, analysts say, will be translating those reserves into actual production, infrastructure and long-term economic gains in a sector long burdened by missed opportunities and policy uncertainty.
