NCDMB, IOCs Partner Towards Engaging Local Firms For New Oil, Gas Projects
A partnership between the Nigerian Content Development and Monitoring Board, NCDMB and International Oil Companies, IOCs in the country is in the works. This is aimed at creating an ecosystem for local firms to be involved in the execution of new projects in the oil and gas industry.
NCDMB’s Executive Secretary, Felix Omatsola Ogbe gave the indication on Monday when he visited the facilities of Samsung Heavy Industries Nigeria (SHIN) and Africoat Nigeria Limited, a pipe coating plant, at Takwa Bay, Lagos.
He said the idea was in line with the mandate of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act, even as he noted that the board was working hard to actualize the economic agenda of the president, Asiwaju Bola Ahmed Tinubu, particularly in catalyzing new oil and gas projects, job creation and economic revitalization.
He said the visit was consistent with his determination to assess oil and gas facilities across the country as a prelude for their participation in ongoing and upcoming major oil industry projects.
NCDMB played key roles in accelerating approvals for the new projects, which include Ubeta gas development project, currently being developed by Total Energies, and Bonga North deep water project, for which Shell Nigeria Exploration and Production Company Limited (SNEPCo) had announced the final investment decision (FID) in December 2024. Similarly, Zabazaba deep-water project is being readied by ENI and Shell, just as preparations for the HI and HA gas projects are being made by (SNEPCo).
At the Samsung Heavy Industries, the Managing Director, Mr. Jin Lee highlighted the firm’s in-country capacities, which include heavy fabrication and FPSO integration quayside and reiterated the company’s experience in executing major oil and gas projects, notably the fabrication and integration of six modules for the TotalEnergies’ Egina FPSO in 2018.
The Business Development Manager, SHIN, Mr. David Bruce Inglis said the company trains welders in different specialization and had trained 560 welders during the execution of the Egina project, including women. He said the facility employed over 1000 persons at the peak of the Egina project, but the capacity was now scaled down to 131, owing to lack of projects. The company he said has the database of past employees and would re-engage some of them if they win a new major project.
At Africoat, the NCDMB boss challenged the firm’s management to resolve the protracted dispute they have with their bankers, as well as their landlord, Lagos Deep Offshore Logistics (LADOL), which stopped the plant from operating since its completion in 2017. He suggested that a peaceful settlement would allow for the plant to be rehabilitated, before it can work for the industry, and benefit the investors, and create jobs for the economy.
The Managing Director of Africoat, Mr. Frank Twynam confirmed that efforts were ongoing to resolve the impasse. He noted that $US42 million was invested to develop the corrosion and concrete weight coating plant, hinting that a robust plan was already in place to restore the facility once the dispute is resolved.
