African exploration and production company Petralon Energy is advancing drilling at the Dawes Island field, located in PPL 259 in Nigeria.
The company brought the DI-2 well online while announcing the successful spudding of the DI-3 well.
Both milestones reflect an ambitious drive to bolster production through continuous drilling activities in line with the country’s Petroleum Industry Act (PIA), underscoring the central role independent companies play in driving Nigeria’s production goals.
Following his inspection of operations at the Dawes Island field, Nigeria’s Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, issued a strong endorsement of Petralon Energy and its operational milestones.
Lokpobiri commended the company for supporting the country’s production strategy, highlighting the impact of the PIA not only in delivering the country’s oil and gas goals but also in cementing the role of indigenous companies in the country’s production portfolio.
“After inspecting operations at the field operated by Petralon Energy Limited, I noted that we have always maintained that the era of holding licenses as souvenirs is over. Under the ‘Drill or Drop’ provision of the PIA, operators must remain actively engaged in drilling activities or be prepared to relinquish such assets,” Lokpobiri stated.
He further explained that Petralon Energy represents an example for other licensees to follow, highlighting the value of a ‘drill, baby drill’ approach to meet Nigeria’s production quota as the country targets 2.5 million barrels per day (bpd) in the coming years.
The African Energy Chamber welcomed Petralon Energy’s endorsement by Lokpobiri, noting that his remarks underscore a critical message for Nigeria’s upstream sector: that regulatory clarity, deliberate government support and operator accountability are now working hand in hand to deliver real barrels and a real future.
For the AEC, Petralon’s performance is a “compelling demonstration of what the PIA was designed to achieve, an environment where committed indigenous operators can thrive, production can grow, and communities become active stakeholders in the success of energy projects”.
Petralon Energy has become a key example of Nigeria’s upstream momentum. Since taking over the Dawes Island field, the company has revived abandoned infrastructure, restarted the DI-2 well and launched a drilling campaign, adding up to 2,500 bpd.
These results reflect what Lokpobiri called Petralon’s “commendable capacity”, reinforcing the message that empowered indigenous operators can deliver real volumes that support national production goals. Other indigenous operators stand to learn from Petralon Energy’s approach, positioning themselves at the forefront of PIA-led production growth in Nigeria.
Petralon Energy’s work on PPL 259 shows what is possible when regulatory certainty, local capability, and steady investment work in sync, according to AEC, adding that its role in the Project One Million Barrels initiative further demonstrates how indigenous players are stepping into the space left as international majors shift away from onshore and shallow-water assets.
Petralon Energy has also moved early on community engagement, an area that has historically slowed progress in the Niger Delta. Through Petralon 54, the company has established Host Community Development Trusts for the Ogoloma and Koniama communities, swift action that signals respect for the PIA and recognition that operations and social license must go hand in hand.
This approach aligns with AEC’s push for development models that build long-term stability and trust.
“Petralon Energy has shown what happens when you give capable Nigerian companies the room to perform – they deliver. The company’s progress at Dawes Island is proof that indigenous operators are essential to hitting national production targets,” said NJ Ayuk, AEC’s Executive Chairman.
Nigeria remains the pillar of Africa’s energy landscape, and strengthening local participation is essential to sustaining that role, according to AEC, stating that Petralon Energy’s progress, paired with active government engagement, offers a practical model for boosting production, deepening local ownership and ensuring that resource development is transparent and broadly beneficial.
