A sharp decline in oil drilling activities which has led to the loss of five active rigs within a month might be threatening Nigeria’s revenue outlook.

According to a report by the African Energy Council (AEC), the slump in Nigeria’s rig count has raised concerns over future crude production, government earnings and fiscal stability.

The report revealed that Nigeria’s active rig count dropped from 17 in March to 12 in April 2026, representing a decline of nearly 30 per cent in just one month and signalling weakening upstream investment and exploration activities.

Rig count, a key indicator of oil and gas exploration and production activities, measures the number of drilling rigs actively operating within a country or region.

Industry experts often regard it as a leading indicator of future production levels. The development comes at a time when Nigeria is struggling to meet its crude oil production targets and relies heavily on petroleum earnings to finance government expenditure.

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According to the report, the decline in rig activity poses a direct threat to the Federal Government’s 2026 budget benchmark of 1.84 million barrels per day (bpd), especially as actual production stood at about 1.48 million bpd in April 2026.

The AEC noted that while the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) reported 31 active rigs during the period, the Organisation of Petroleum Exporting Countries (OPEC) placed the figure at 12.

It explained that the discrepancy likely reflects differences in counting methodologies, including whether rigs on standby are classified as active.

Despite the differing figures, the Council stressed that both data sets point to a downward trend in drilling activity.

The think tank warned that with only 12 active rigs operating in April, Nigeria’s future production capacity is under severe threat unless urgent measures are taken to reverse the decline.

It further observed that the country’s rig count had already fallen from 15 in 2024 to 13 in 2025, indicating that several potential barrels that should have contributed to current production were never drilled.

“AEC views Nigeria’s upstream retreat with serious concern. A 41.7 per cent single-month rig count collapse, compounding revenue losses exceeding $3.1 billion, and a widening gap between NNPC’s 2030 ambitions and ground-level drilling activity signal a sector in structural distress rather than a cyclical downturn,” the report stated.

While Africa drills forward, Nigeria drills back. Without urgent policy action, Nigeria risks permanently ceding both its relevance within OPEC and its opportunity to monetise reserves before the global energy transition narrows that window.

The warning comes against the backdrop of mounting fiscal pressures. Oil revenues account for roughly 60 per cent of government earnings, meaning lower production could translate into wider budget deficits and increased borrowing.

The Oyo State Government has demolished a building used as a hideout by kidnappers who abducted the younger sister of former Minister of Power, Adebayo Adelabu, and her two children.

The structure, located in the Lakoun community along the Ayegun-Olojuoro Road in Ibadan, was pulled down on Monday following the successful rescue of the victims during a security operation over the weekend.

Mrs. Olaide Adegoke John-Paul, Adelabu’s younger sister, and her 12-year-old twin sons were reportedly held captive in the building before they were freed by security operatives.

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Confirming the demolition, Oyo-based media platform Oyo Affairs shared a video of the exercise on X, stating, “The Oyo State Government has demolished kidnappers’ den at Lakoun, Ayegun-Olojuoro Road, Ibadan, where the sister of former Minister Adebayo Adelabu and her children were held captive.”

The demolition followed a security assessment of the site led by the Oyo State Commissioner of Police, Oluwagbemiga Abimbola, on Sunday.

Another local news platform, Oyo Matters, also posted photos and videos of the operation, writing, “Oyo Government Demolishes Building Used as Kidnappers’ Hideout in Adelabu Family Abduction, Levels Property to the Ground.”

The government’s action comes days after a coordinated rescue mission that led to the safe recovery of the victims and a major breakthrough in the investigation.

During the operation, two members of the kidnapping syndicate were killed in a gun battle with security personnel, while four other suspects were arrested and later paraded at the Oyo State Police Headquarters in Eleyele, Ibadan.

Security authorities have urged residents to remain vigilant and promptly report any suspicious movements or information that could lead to the arrest of other fleeing members of the gang.

The demolition is widely seen as part of the Oyo State Government’s efforts to dismantle criminal networks, deny kidnappers safe havens, and strengthen security across the state.

The dramatic rescue and subsequent demolition have drawn widespread attention, with many residents applauding the government’s swift response to the high-profile abduction case.

The Nigeria Labour Congress (NLC) and the Trade Union Congress of Nigeria (TUC) have threatened to embark on a nationwide strike if the worsening insecurity across the country is not urgently addressed.

The labour unions issued the warning during a joint media briefing held on the sidelines of the 114th International Labour Conference in Geneva, Switzerland.

Expressing concern over the rising cases of terrorism, banditry, kidnappings, and violent attacks in several parts of the country, the labour leaders said Nigerians can no longer continue to live in fear while carrying out their daily activities.

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The unions warned that if the security situation continues to deteriorate without decisive government intervention, organised labour may be left with no choice but to mobilise workers for industrial action nationwide.

According to the labour leaders, the persistent attacks on communities, commuters, farmers, and workers have reached an alarming level, requiring urgent and coordinated action from all levels of government.

“Enough is enough,” the labour centres declared, stressing that the protection of lives and property remains one of the fundamental responsibilities of government.

The NLC and TUC also used the opportunity to dismiss claims by some state governors that negotiations were ongoing with workers on a proposed ₦100,000 minimum wage.

They insisted that such claims do not reflect the current state of discussions on workers’ welfare and cautioned against giving the public a misleading impression about ongoing engagements with organised labour.

The unions reaffirmed their commitment to defending the interests of Nigerian workers and called on the Federal Government to take immediate and effective measures to tackle insecurity across the country.

They warned that failure to halt the rising wave of violence and criminality could trigger nationwide industrial action in the coming weeks.