The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has cautioned that all midstream and downstream oil and gas operators — including those in free trade zones, export processing zones, and other designated areas — must hold licenses, permits or authorizations from the Authority under the Petroleum Industry Act (PIA) 2021.
The circular, signed by Acting CEO Abiodun Adeniji and addressed to company chiefs across midstream/downstream, petrochemical, fertilizer and terminal operations, stresses that no operator or location is exempt from NMDPRA’s regulatory oversight. Adeniji maintained that the Authority’s regulatory oversight covers refining, processing, storage, bulk transport, pipelines, gas networks, terminals, jetties, wholesale supply, import/export, distribution and sales across Nigeria’s continental shelf, territorial waters, exclusive economic zone and all industrial, free and export processing zones.
NMDPRA also cited Section 48(1) of the PIA that requires prior consultation with the Authority by any ministry, department or agency whose actions could affect midstream/downstream operations, and invoked Section 309 to note that the PIA supersedes conflicting laws. The circular warns that operators who run facilities or carry out activities without the necessary approvals will face sanctions under the PIA, and that the Authority will review recommendations from other government bodies and issue binding decisions.
