Why Tinubu Should Grant 20% Oil Block Equity to Nigerians, By Concerned Stakeholders

Onyebuchi Ezigbo in Abuja

Worried by the relatively low participation of Nigerians in key aspects of the exploration, production and management of the oil and gas resources, some stakeholders have urged President Bola Tinubu to ensure that 20 percent equity in each of the 50 oil blocks scheduled for sale this year are kept in trust for Nigerians.

They are also urging the federal government to set in motion a process that will promote the formation of cooperative groups by youths to enable them partake in the exploration solid mineral resources northern part of the country.

The proposal which was made by stakeholders under the auspices of Nigerian Local Content Conference (NLCC) argued that by seeding 20 percent equity to the Nigerian people in the 50 technical bids submitted by various companies at the 50 oil blocks licencing Round, the government will be able to pull a lot of citizens out of poverty and significantly increase local participation in the petroleum sector.

Speaking at a meeting at TransCorp Hilton Hotel in Abuja, the Convener of NLCC and Africa Commodities Conference and Exhibition (ACCE), Michael Akueche said the measure will enable Nigerians to take advantage of the existing Local Content Act which seeks to give greater opportunity to indigenous operators to participate in the oil exploration and production businessl

He said by this singular act, the president could win the support of Nigerian youths across the 36 states and the Federal Capital Territory and will deliver over seven million votes for him in the upcoming Presidential elections.

“Our objective is to get the Nigerian government, especially the leadership of the nation, to instruct the Nigeria Upstream Petroleum Regulatory Commission, to mandate the bidders of oil blocks to incorporate 20% equity in the 50 bids that was put out by NUPRC on the first of December 2025.

Akueche who was joined at the meeting by chiefs and community leaders from Delta state said as it stands now, the upcoming 50 oil block licensing rounds is designed for the very few privileged Nigerians, while majority of the citizens languish in poverty.

“According to the National Bureau of Statistics, (NBS), 63 percent amounting to 130 3 million Nigerians, are living in multi dimensional poverty.

“And we are saying that this is an opportunity here. We the youths of this country cannot just keep quiet and the wealth of our nation are being given to the very few.

“We want more Nigerians to participate in the process. We want to participate in the business and ownership of oil and gas assets, and to that extent, we are asking Mr. President to instruct the leadership of the Nigerian Petroleum Regulatory Commission to mandate the bidders of the 50 oil and gas Blocks that they are awarding.

“You know, currently they have done pre qualification, which is the easiest one, and soon they will be calling for the technical bid submissions, so that they will be able to tell the companies for prevailing national interest, for the amount of poverty we are suffering in this country.

“The President is a man that loves shared equity and shared prosperity. That 20 percent equity must be incorporated in their bids.

On how achieve this, he said the 20 percent equity holding would be organised state by state in an organised framework investment structures.

“We are looking at it state by state. In every state, 10,000 people from each local government multiplied by the number of the local governments in that state. For an example, Rivers State is 23 local governments, 10,000 times 23 is about 230,000 people.

“Also Kano state is 44 local governments and we are talking about 440,000 people that will be given this 20 percent equity”.

Akueche further said, “Another thing we are asking is not just 20 percent equity, but to award oil blocks to the oil and gas producing states using this same framework of mobilization of 10,000 people from every local government in the nine oil producing states.

“Add it Anambra, which has now become oil producing state to give you 10 states. They have 206 local governments. Multiply it by 10,000 to give you 2,060,000 multiply 36 states and FCT seven, 774 local governments.

“By 10,000 it will give you 7 million, several and 40,000 add the 7007 point, 7 million plus 2 million and more than 9 million votes,” he said.