The Federal Government’s technical review of crude oil and gas assets has recommended that 119 crude oil and gas wells verified in favour of Cross River State should trigger a refund of 13 per cent derivation revenues previously enjoyed by Akwa Ibom State. The Petroleum assets findings form part of a nationwide coordinate verification exercise designed to align revenue allocation with scientifically validated production data.
The Inter-Agency Technical Committee on the verification and plotting of Petroleum assets formally advised President Bola Ahmed Tinubu to approve implementation of the exercise. It urged the President to direct the Revenue Mobilization, Allocation and Fiscal Commission and the Office of the Accountant General of the Federation to compute and pay arrears to beneficiary states. Therefore, the Petroleum production assets review now awaits executive assent.
The report, submitted to RMAFC Chairman Mr. M. B. Shehu, followed months of field verification, hydrographic validation and reconciliation of crude oil and gas coordinates between 2017 and 2025. Meanwhile, technical experts describe the crude oil and gas plotting exercise as one of the most comprehensive in recent years. At its core lies the equitable distribution of the 13 per cent derivation fund.
Crude Oil and Gas: Cross River’s 119 Wells
According to the report, 119 oil and gas wells were verified, plotted and attributed to Cross River State. However, before the crude oil and gas verification, derivation benefits from those wells had been received by Akwa Ibom State. Consequently, the committee recommended that Akwa Ibom refund to Cross River the 13 per cent derivation revenue previously enjoyed from the 119 Petroleum production assets.
Sources familiar with the crude oil and gas exercise said the conclusion was based strictly on reservoir mapping and boundary reconciliation. In addition, hydrographic surveys confirmed the precise location of the crude oil and gas wells. Stakeholders argue that this liquid and gaseous hydrocarbons determination restores fiscal accuracy grounded in geological evidence rather than administrative assumptions.
The report further examined broader crude oil and gas attributions affecting other producing states. For Akwa Ibom State, 119 crude oil and gas wells were verified and plotted. However, 107 disputed spudded revenue-generating oil assets located in OMLs 70 and 100 are to be shared equally between Akwa Ibom and Rivers States. As such, Akwa Ibom is expected to refund 50 per cent arrears of derivation revenue previously received from those producing wells.
In the case of Anambra State, 25 Hydrocarbon deposits were verified and plotted. In addition, 22 producing wells in the Anieze field are to be shared equally with Delta State. Pending boundary resolution, Delta is expected to refund 50 per cent of derivation revenue received from those crude oil and gas wells.
For Bayelsa State, 92 oil and gas reserves were verified and attributed. New crude oil and gas fields credited to the state include Atala, Okiori and Kurogbagba. Therefore, the oil-producing wells review carries significant fiscal implications across the Niger Delta.
Transparency in Crude Oil and Gas Oversight
Beyond revenue attribution, the committee recommended stronger transparency in crude oil and gas operations. It urged the Nigerian Upstream Petroleum Regulatory Commission to ensure adequate transparency in Oil and gas assets’ activities. Furthermore, it called for improved and timely access for authorised government officials to Petroleum resources platforms and facilities.
Industry analysts note that seamless access to Hydrocarbons installations enhances verification accuracy. Meanwhile, stronger oversight of energy assets production data would reduce inter-state disputes and reinforce confidence in Nigeria’s fiscal framework.
If implemented, the oil and gas assets recommendations could reshape revenue flows and strengthen constitutional compliance. Ultimately, the President’s approval will determine whether the crude oil and gas findings translate into enforceable fiscal adjustments.
