Sopuruchi Onwuka

Federal government has declared that the petroleum industry value generator, the Nigerian Content Development and Monitoring Board (NCDMB) would continue development of local capacity development for home grown industrialization of the African continent.

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Minister of State for Petroleum in charge of Oil, Senator Heineken Lokpobiri declared in Yenegoa, Bayelsa State, on Wednesday that government is strongly committed to leveraging local content as a strategic tool for industrialization, innovation, and inclusive economic growth in Nigeria.

In his ministerial address at the ongoing Nigerian Oil and Gas Opportunity Fair (NOGOF) hosted by the NCDMB and organized by Jake Riley Limited, the minister called on the industry to take action and unlock new exploration opportunities, attract sustainable investment, and stimulate production growth across the country’s energy value chain.

He took a review of Nigerian content drive in the country since 2010 and declared that the NCDMB has transitioned from enforcing compliance to delivering real impact in the economy, fostering compliance and leading industrialization, innovation, and enterprise development.

The Oracle Today reports that the NCDMB is the regulatory body established by law to give effect to implementation of the Nigeria Oil and Gas Industry Content Development (NOGICD) Act of 2010.

Executive Secretary of the NCDMB, Engr Felix Ogbe, had in his welcome address at the event declared that the agency has successfully driven the industry to increase Nigerian content in the petroleum industry from mere 5 percent in 2010 to over 56 percent in 2024.

There is a target by the NCDMB to push Nigerian Content in the industry to over 70 percent at the end of its 10 year strategic roadmap currently under implementation.

Senator Lokpobiri pointed at significant local capacity development in the industry, noting that indigenous companies are now building Floating Production Storage and Offloading (FPSO) units, managing key industry assets, and setting service standards that meet and exceed global benchmarks.

He stated that the NCDMB and local services providers have delivered the vision of the Nigerian Content law by setting global standards and becoming a reference point for other nations. He also noted that the agency efficiently managed the Nigerian Content Intervention Fund domiciled with the Bank of Industry (BoI) to meet the aspirations of the fund in driving growth in the petroleum and wider energy sector.

With dollar and Naira denominated credit facilities that meet single digit interest rate benchmark in the global petroleum industry, Senator Lokpobiri observed, the Nigerian Content Fund (NCF) has proved to be a critical growth facility for indigenous industry players.

 “The fund has helped indigenous businesses scale operations and delivers value across the sector for the betterment of all of us,” he noted.

He stated that the ministry was working with the NCDMB to groom some 100 outstanding indigenous companies to compete on the global stage under the Project 100 initiative. He said the impacts of the NCDMB on the industry are becoming clearly palpable.

He described NOGOF as a national platform to foster catalytic and measurable progress with real, verifiable, and actionable demonstration of capacity across the full loop of industry play. He stated that NOGF presents a platform for showcasing multi-billion-dollar investment opportunities across the upstream, midstream, and downstream segments of the industry.

He said opportunities on display appeal to players in crude oil processing, marginal field development, refining, construction, logistics, et cetera.

He stated that the President Tinubu administration of the government has positioned the petroleum industry as a platform for national security, economic growth, justice, and intergenerational wealth creation. He called on the industry community to demonstrate unity of purpose, confidence in national capabilities, and an unwavering commitment to growth.

He made it clear that the oil and gas sector would signify the success of the Nigeria nation and the African continent. He pointed out that Nigeria leads African journey into success, and that the NCDMB has been positioned to lead the Nigerian journey.

 “When we talk about African local content, we must be referring to Nigerian local content. We must lead by design.”

He expressed the confidence that the NCDMB would efficiently and effectively deliver on its mandate to significantly deepen local content in Nigeria’s oil and gas industry and lead Africa’s economic and industrial development by providing innovative capabilities.