Midstream and Downstream Petroleum Operations Regulations, Statutory Instrument no. 79 of 2025.

These Regulations, made under section 33 of the Petroleum Industry Act, No. 6, of 2021, apply to persons, operations, and activities in the Nigerian midstream and downstream petroleum industry. These Regulations, divided into seventeen parts, provide for: regulating the operations of companies and entities in the Nigerian midstream and downstream petroleum sector; granting licences, permits, authorisations and payment of fees for midstream and downstream petroleum operations; regulating activities for the transportation, storage, lifting, discharge, shipment and export of natural gas or its derivatives and petroleum liquids in Nigeria; ensuring accurate measurement and allocation of natural gas or its derivatives and petroleum liquids; calculating revenue accruing to government, licensees, contractors and other parties in midstream and downstream petroleum operations; granting licensing, construction and operation of pipelines for natural gas, petroleum liquids and other process fluids within the Nigerian midstream and downstream petroleum industry; regulating the establishment, construction and operations of hydrocarbon refining and processing facilities, terminals and bulk storage facilities in the Nigerian midstream and downstream petroleum industry; establishing a procedure for the assignment, transfer or surrender of a licence or permit by a licensee or permit holder; ensuring procedure for the separation of licensed activities in the Nigerian midstream and downstream petroleum industry; specifying codes of conduct and corporate governance standards for companies in the Nigerian midstream and downstream petroleum industry; ensuring registration of licences, permits and authorisations; establishing the midstream and downstream petroleum data repository in the Authority, and providing the procedure for the submission, collection and management of data; ensuring disposal of confiscated materials and equipment in the Nigerian midstream and downstream petroleum industry; imposing sanctions, penalties, and administrative fines for failure to comply with the provisions of these Regulations.
These Regulations cover the following matters: application and duties for a licence, permit or authorisation; payment to the Authority Fund and Midstream and Downstream Gas Infrastructure Fund; licences, permits and authorisations for midstream and downstream gas and petroleum liquids operations; petroleum transportation and shipment measures; prohibition of discharge into waters or atmosphere; testing of samples of petroleum liquids or natural gas or its derivatives; shipment identification management; restrictions on vessels from carrying part cargo or dead freight; prohibition of loading, importation, or trans-shipment in an unauthorised location; petroleum measurement system; licence and permit to establish a petroleum pipeline and prohibitions, role of fishery expert to be used by the applicant during the survey for consideration of fishery activity in the area; standards for design, construction and inspection of hydrocarbon refining and processing facilities; sustainable water management; hydrocarbon refining and processing facilities; application for licence to operate a crude oil refinery; authority to license terminals and bulk storage facilities; assignment or transfer of licence or permit; separation of licensed activities and prohibition of overlapping activities; business conduct and ethics; registration and publication of licences, permits and authorisations; establishment of the Midstream and Downstream Petroleum Data Repository and specification of its functions; power to to confiscate and dispose; customer protection and establishment of customer forum; duty to obtain licence or authorisation for petroleum liquids trading and settlement; penalties for contravention in midstream and downstream petroleum operations.
These Regulations define the following relevant terms: accredited laboratory; administrative penalties; allocation system for petroleum products; company; critical equipment; crude oil; declared emergency; Environmental Management Plan; flare gas data; gas derivatives; gas processing facilities; hydrocarbon processing and refining facilities; industrial gas storage and utilisation; international measurement standard; liquefied natural gas; liquefied petroleum gas; metering and data collection standards; natural gas; petroleum; petroleum products; traceability; waste.