VOLUME 1 ISSUE 2
Executive Summary
This policy paper proposes the strategic transfer of regulatory and administrative oversight for bitumen (technically known as solid petroleum) production from the Federal Ministry of Solid Minerals Development to the Federal Ministry of Petroleum Resources. Nigeria holds the world's second-largest bitumen reserves, estimated at 42 billion barrels, yet the sector remains critically underdeveloped.
A fundamental misconception underpins this stagnation: bitumen is incorrectly categorised as a solid mineral for asphalt, when in fact, it is a solid hydrocarbon that requires upgrading and refining processes identical to those in the petroleum industry for commercial production of fuels just like crude oil.
Recognising this reality is key to unlocking its potential. The development of the bitumen belt is arguably the fastest and most scalable route to boosting Nigeria’s total crude oil production and achieving the national target of 3 million barrels per day by 2030.
Consolidating oversight under the MPR will eliminate institutional fragmentation, leverage existing petroleum sector frameworks for rapid development, and strategically position this vast resource as a major contributor to national oil output, energy security, and economic diversification.
