Nigeria is sitting on a massive $227.5 billion in untapped oil and gas reserves, according to new data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). Valued at an average benchmark of $65 per barrel, the reserves dwarf the nation’s 2025 budget of ₦54.9 trillion—by more than 600%.
Yet, despite this enormous potential, Africa’s largest oil producer is still running a deficit of ₦13.08 trillion in its fiscal plan, relying heavily on borrowing to fund government spending.
Budget Strains vs. Idle Wealth
Nigeria’s 2025 budget earmarks:
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₦13.64 trillion for recurrent expenditure
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₦23.96 trillion for capital projects
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₦14.32 trillion for debt servicing
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₦3.65 trillion for statutory transfers
But with revenues falling short, the government plans to bridge the gap through domestic and foreign loans.
Analysts point out that if the nation’s idle reserves were harnessed effectively, they could fund game-changing projects: nearly two million basic health centers, over five million classroom blocks, or more than 400,000 kilometres of highways.
The Underutilization Problem
The NUPRC report paints a troubling picture of underdevelopment:
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31.65% of oil and gas fields remain untouched.
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Only 12.25% are currently developed.
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A slim 5.10% fall into the “development in view” category.
For deep offshore reserves, the imbalance is just as stark:
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25% are in established fields.
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23% are under development.
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A massive 52% remain idle.
As of January 1, 2025, Nigeria’s deepwater region accounted for 19% of oil reserves and 12% of gas reserves. But of these identified fields, 65% are still undeveloped.
Reserves at a Glance
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Oil reserves: ~37.28 billion barrels
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Gas reserves: ~210.54 trillion cubic feet
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Licensed fields: 220 blocks scattered across onshore and offshore basins
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Developed gas reserves: Just 4.7 TCF, with 877 billion cubic feet still in development
The Big Picture
While the government struggles to service rising debt, trillions of dollars’ worth of resources remain idle beneath Nigerian soil and waters. Unlocking this wealth could redefine the country’s economic trajectory—turning budget deficits into surpluses and financing transformative infrastructure.
Until then, Nigeria’s paradox remains: a resource-rich nation grappling with empty coffers.
