Board, Greenville LNG to partner on alternative power supply

The Nigerian Content Development and Monitoring Board (NCDMB) will collaborate with Greenville Oil and Gas Company Limited on the possibility of using Liquefied Natural Gas (LNG) to provide an alternative source of electricity for the Board’s new 17 storey headquarters building in Yenagoa, Bayelsa State.

This discussion was initiated recently when the Executive Secretary of NCDMB, Engr. Simbi Wabote visited Greenville Oil and Gas at Rumuji, Rivers State with management of the Board and representatives of operating companies.

The Vice President, Greenville Oil and Gas, Mr. Steffano Piotti spoke at the event and promised that the company would submit a proposal to NCDMB on the planned utilisation of LNG for power, noting that the firm had capacity to supply LNG to all locations in Nigeria using a fleet of three hundred LNG fuelled trucks that have twenty-five-tons capacity each.

He disclosed plans to operate LNG refuelling stations across Nigeria in two phases which are Rumuji, Koton Karfe, Gwagwalada, Sagamu, Benin, Kaduna for phase one and Lagos, Abuja, Kano, Yola, Jos, Bauchi, Maiduguri, Sokoto for the second phase. He stated that the LNG project would create over two thousand direct jobs and five thousand indirect jobs across Nigeria. He added that the project also helps to reduce Greenhouse emission from gas flaring, deepen utilization of gas for power generation, revive moribund industries, provide power for stranded industrial ventures and support businesses in remote parts of the country.


Earlier in his welcome remarks, the Director, Administration and Finance, Mr. Joseph Oyadoyi indicated that the company is the pioneer producer of LNG for domestic consumption and is determined to domesticate local utilization of LNG for power generation.

He said the company had capacity to produce three LNG trains fed with forty million standard cubic feet of gas per day and its mission is to expand the natural gas utilisation in Nigeria using LNG Trucks which are environmentally friendly. “The goal is to reach locations that are not served or underserved by existing gas pipelines.”

In his comments, the Executive Secretary NCDMB commended the company’s bold investment which is helping to harness gas resources for domestic use as against allowing it to be flared or processed for export.

Dwelling on the company’s Corporate Social Responsibility (CSR) Policies, the Nigerian Content Chieftain advised it to establish a Trust Fund that will benefit the community as a strategy of guarantying peace and sustainability of investment.

Exec Sec charges Charkins Maritime on Seafarers’ training

The Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Engr. Simbi Wabote has challenged the management of Charkins Maritime and Offshore Safety Centre to develop a strategy that will provide maritime cadets with sea time experience required to qualify them as professional sailors. Such a strategy would foster a partnership arrangement with the Board to address the deficit of trained cadets in the maritime and oil and gas industries.

He gave the charge in Port Harcourt, Rivers State on Monday when he led top management of the Board and representatives of international and indigenous operating companies on a facility visit to the company. He commended the firm’s capacity building strides, adding that the Board has adopted a training model geared to provide beneficiaries with skills they need to gain meaningful employment or become self-employed.

According to the Executive Secretary, the facility is a clear proof that Nigerian Content is working because the centre is operating with international standards in the heart of Port Harcourt. “It is impressive that all their accreditations are international, and all the examinations are international. Trainees in this facility can work anywhere in the world.”

Wabote further stated that the vision of Charkins of becoming a Centre of Excellence for Maritime Training is being realised, noting that the Board is working with the Oil and Gas Trainers Association of Nigeria (OGTAN) to categorize Training Centres and their courses.

On the commissioning of the NCDMB Hall, the Executive Secretary commended the company for the gesture which is the first in the industry. He promised that the Board will use the conference hall to host its events in Port Harcourt.

Earlier in his welcome address, the Chief Executive Officer of Charkins Maritime and Offshore Safety Centre, Sir Charles Kimikanwo Wami extolled the Board for its effective implementation of the Nigerian Content Act. He acknowledged that the success recorded in the last seven years had enabled Charkins Maritime Centre to collaborate with foreign partners for the training of instructors and award of international accreditations such that its products and certificates are accorded international acceptance.

He also noted that the company was recently recognised as the Best Maritime Education and Training Institute by the Nigerian Maritime Administration and Safety Agency (NIMASA).

Some of the facilities inspected at the centre were the Drilling Simulator Class for offshore and onshore drilling operations, Land Ship Simulator, MV Rivers Pride commissioned on February 9, 2017 by the Rivers State Governor, Chief Nyesom Wike; Dynamic Positioning Training Class and Simulator Laboratory; High Voltage Simulator Room for Engineers and Electricians; Helicopter Evacuation Simulator Pool and Offshore Crane Training Simulator. Others were the cadet hostel, auditorium, e-Library under construction and delegates quarters for senior management trainees.

The highpoint of the visit was the commissioning of the Conference Hall at the centre dedicated to the NCDMB.

Wabote tasks Benkline on expansion into Downstream Sector

The Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Engr. Simbi Wabote has advised the management of Benkline Nigeria Limited to expand the company’s operations to the downstream subsector of the oil and gas industry and manufacture components for the modular refineries planned by various investors.

The Executive Secretary gave the advice in Port Harcourt, Rivers State on Monday when he led top management of the Board and representatives of international and indigenous operating companies on a facility visit to the company.

He asserted that Benkline had the capacity to manufacture pumps for modular refineries and charged it to provide specialists services to the oil and gas industry as obtained in other oil producing countries. The Executive Secretary applauded the company’s capacity to manufacture and maintain mechanical components used in the oil and gas industry and assured the management of the Board’s support for its growth plans. He also praised ExxonMobil, Total Exploration & Production and Nigerian Agip Oil Company (NAOC) for patronizing Benkline and giving it a seal of competence and capability which would encourage indigenous producing companies like Aiteo and Eroton to also support the firm.

On the Benkline’s request to access the Nigerian Content Intervention Fund (NCI Fund) to grow its capacity, Wabote stated that the Fund could be accessed by all qualified companies. He explained that four product lines were tailored to support manufacturing, contract financing, loan refinancing and asset acquisition and they attract eight percent interest rate repayable over five years. He added that community contractors could also access Twenty Million Naira repayable with five percent interest over five years. The Executive Secretary also confirmed that the Service Level Agreement signed with the Bank of Industry (BoI) mandated BOI to complete the processing of loan applications within a 45-day period.

In his welcome remarks, the Chairman of Benkline, Mr. Terry Ossai enumerated the company’s core services to include pumps and rotating equipment services as well as mechanical and repairs maintenance. The Managing Director, Mr. John Onwoh also appealed to the international operating companies and Engineering Procurement and Construction companies to patronise the company.

IOCs representatives on the visit included the General Manager, Nigerian Content Development, Shell Petroleum Development Company (SPDC), Engr. Olanrewaju Olawuji; Manager, Nigerian Content, NAOC, Mr. Albert Ijuwe; General Manager, Nigerian Content Development Total E&P, Barr. Uche Okeke; the Managing Director, Eroton, Mr. Ebiaho Emafa and the Nigerian Content Coordinator, Aiteo, Mr. Joseph Nwatu.

NCDMB to sue offenders of Local Content Act

Justices must refer to the NC Act in Oil and Gas cases-CJN

Oil and Gas companies that fail to comply with the provisions of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act will henceforth be dragged before the law courts by the Nigerian Content Development and Monitoring Board (NCDMB), the Executive Secretary, Engr. Simbi Kesiye Wabote said in Abuja on Tuesday.

He spoke at the first national seminar for Justices and Judges on the Role of the Judiciary in the development of the Nigerian Local Content Law and Policy, organised by the Juris Law Office and NCDMB in collaboration with the National Judicial Institute (NJI).

He noted that the NCDMB had used administrative procedures to enforce the Act in the past eight years but will begin to prosecute cases of infringement in line with Section 68 of Nigerian Content Act. “We are changing gear in NCDMB from writing letters of non-compliance on infractions to actual prosecution of offenders who think they can trample on the law of the land on Local Content and get away with it.”

The Executive Secretary said the Board delayed the prosecution option because it wanted to fully exploit the Alternative Dispute Resolution (ADR) mechanism, develop its operating guidelines and organise capacity building workshops on the Nigeria Content Act for the Judiciary. “After this workshop, we will begin to institute cases in the courts. If we don’t enforce the provisions of the Act, we will not be able to create employment opportunities for Nigerians from the activities in the industry.”

Giving details of the Board’s achievements, Wabote explained that most fabrication, engineering, and procurement in the oil and gas industry were done abroad prior to the enactment of the NOGICD Act in 2010 and it resulted in estimated capital flight of $380billion Dollars in 50 years. “Estimated job lost opportunities was in the region of two million. The narrative then was that nothing can be done in-country resulting in less than five percent of in-country value addition.

He added much of the 28 percent Local Content achievement recorded since the enactment of the Act till date were done using the passion and commitment of the various directorates of the Board.

According to him, “our next big leap from 28 percent to 70 percent in-country value retention will require step change in the enforcement of the law to drive reversal of capital outflow.”

He further solicited the support of the Justices when interpreting the objectives and philosophy of the NOGICD Act if cases bordering on Local Content become subject of litigation. “We need the support of the judiciary to achieve our drive to create wealth for local businesses and jobs for our teeming populace in line with the law.”

The Local Content boss stated further that the target Nigerian Content level is meant to create 300,000 direct jobs and retain over $14billion in-country out of the $20billion yearly spend.


In his keynote address, the Chief Justice of Nigeria, Justice Walter Onnoghen charged judicial officers to always refer to the Nigerian Content Act when deciding matters related to oil and gas servicing and exploration contracts as such agreements must comply with the Act.

He underscored the need for Justices and Judges to keep abreast with developments in the Nigerian oil and gas sector, adding that “the adjudicatory duty of a Judge can only be performed optimally when he remains up to date with the emerging developments and trends in jurisprudence pertaining to the oil and gas sector.”

The CJN challenged judicial officers to ensure speedy resolution of disputes so as to assure investors and other major players in the Oil and Gas industry that their investments are safe.

Onnoghen also directed judicial officers to encourage the use of Alternative Dispute Resolution mechanism, such as Arbitration and Mediation to ensure quick resolution of cases in the oil and gas industry.

NCDMB Begins Construction of Cross River Oil & Gas Park

The Nigerian Content Development and Monitoring Board (NCDMB) has begun the construction of the Nigerian Oil and Gas Park at Odukpani, Cross River State, with the goal of creating a regional low-cost manufacturing hub that would produce equipment components and spare parts that would be utilized in the Nigerian Oil and Gas industry.

The Odukpani Park is the first to take off among four planned sites and will be followed by the site in Emeyal 1, Ogbia Local Government Area, Bayelsa State.

Speaking at the ground-breaking ceremony on Friday, the Executive Secretary, NCDMB. Engr. Simbi Wabote credited his predecessors for initiating the Nigerian Oil and Gas Park Scheme (NOGAPS), adding that it “fits nicely into our 10-year strategy roadmap aimed at raising in-country value retention in the oil and gas industry from the current levels to 70 percent.”

He described the ground-breaking as great step towards achieving one of the Board’s key mandates, which is ‘’to develop capacity of local supply chain for effective and efficient service delivery without compromising oil and gas industry standards.’’

He asserted that about 2000 jobs would be created when the park begins full operation while the citizens of the host community and environs will benefit from on-the-job training opportunities. “This project will positively impact Cross River State in general and Odukpani community and its environs in particular. This positive impact will be felt both at the construction and operations stages of the project.”

Wabote explained that NOGAPS sites are planned to be sited close to existing power plants while provisions are also made to generate captive power in a bid to address the electricity challenge that face most Nigerian manufacturers and businesses.

Giving further details, he added that the “park occupies a total land mass of about 25 hectares which will comprise various warehouses, manufacturing shop floors and factories, training centre, hostels, administrative block, mini estate, security posts, fire station, including truck parking and holding areas.”

The Executive Secretary also charged the host community to support and defend the project so it will be completed as planned, warning that the Board would discontinue the project if it faces unreasonable demands and disruptions by youths.

In his remarks, the Deputy Governor of Cross Rivers State, Professor Ivara Esu congratulated the Board on the commencement of the project and promised that the state government will monitor and support the execution.

The clan head of Odukpani, His Royal Majesty, Ekpeyong Effiok also spoke at the event and assured that the community is peaceful and the project will not be disrupted. He however pleaded that the youths in the community should be engaged in the construction and operation of the park.

FG targets 30% oil production from indigenous producers

The Federal Government has charged indigenous oil producers to grow their contribution to the national crude oil basket from the current 10 percent to 30 percent within the next five years. The Minister of State for Petroleum Resources, Dr. Emmanuel Ibe Kachikwu set the target at the closing ceremony of the Nigerian International Petroleum Summit (NIPS) held in Abuja last week.
According to him, the nation aspires to pump of 2.5 million barrels of crude oil per day by 2023 and the expectation is that indigenous producers will contribute about 25 or 30 percent of the projected volume.
He also announced that he had directed the Nigerian Content Development and Monitoring Board (NCDMB) to pursue a strategic plan that will ensure that a Floating Production Storage and Offloading (FPSO) vessel is constructed 100 percent in-country within the next 10 years. He acknowledged that a lot of progress was recorded in this regard with the Total Exploration and Production’s Egina FPSO, hence the next level was to achieve 100 percent manufacture in Nigeria, so as to create more employment opportunities, retain spend and domicile technology.
Another strategy that will deepen Local Content in the country according to the Minister is “Project 100” whereby “the Federal Government will identify critical 100 companies that are in the background offering services but do not have the capital to expand and buy the latest technologies and skills. We will work with big oil companies to help provide guaranteed work and financial support for them to grow.”

Kachikwu also reiterated his call for operating companies to lower their cost of producing crude oil, cautioning that government might be forced to stop production from expensive fields. He said, “I will hate to take a costly barrel to the market when I have a cheap barrel. So everybody needs to drive down cost to the $15 concept we have set as the ideal cost of producing oil in this country and not $22 or $23. Two companies have met that and I will like to get other companies to do same. There will be incentives both in terms of access to the market and willingness to produce and incentives in terms of what we are going to give to any company that is the least cost producer.”
He also revealed that Nigeria was targeting about $100 billion investment in the petroleum sector, though the Federal Government had already sealed deals in excess of $40 billion that would start coming in the nearest future. The committed investments include the Zabazaba deepwater project being promoted by the Nigerian Agip Exploration Limited (NAE) in partnership with Shell Nigeria Exploration and Production Company (SNEPCo) and the Bonga South West Aparo (BSWA) deepwater project also developed by SNEPCo.
Vice President Yemi Osibanjo who closed the summit noted that the event had created a platform to examine issues facing the oil and gas industry in Africa.
He emphasized that the Federal Government was determined to remove all encumbrances to the efficient conduct of oil and gas businesses.

Earlier, the Executive Secretary NCDMB, Engr. Simbi Kesiye Wabote, who was the lead discussant in the panel session captioned, “Local Content and Environmental Issues” had pointed out that the country currently faced a myriad of environmental challenges, including deforestation in the northern part of the country, oil spillage and destruction of aquatic life in parts of the Niger Delta region and loss of natural habitat. He argued that environmental challenges facing communities and individuals contributed to the security problems being experienced in some parts of the country. He further canvassed that Government and stakeholders of the oil industry and other key sectors should urgently implement Local Content Policies in a bid to create industrial activities and employment opportunities for teeming youths of the country whose environments had been impacted negatively.
The four day summit drew participants from several countries, within and outside the African continent and recorded over 1,000 delegates, exhibitors and visitors.

We ‘ll Protect Local Investments -Wabote

Any  Nigerian firm that invests in hi-tech assets in furtherance of Nigerian Content will be protected and be given a level playing field to bid and win contracts in the oil and gas industry, the Executive Secretary, Nigerian Content Development and Monitoring Board (NCDMB), Engr. Simbi Wabote has said.

He gave the assurance during a recent facility visit to Hydrodive Limited’s yard in Lagos, adding that the Board will support such companies to ensure that they get good returns on their investments.

The NCDMB boss was represented by the General Manager, Project and Operations Division, NCDMB, Engr. Paul Zuhumben and he highlighted Section 3(2) of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act which provides that first consideration will be given to Nigerian indigenous companies that demonstrate ownership of equipment, personnel and capacity to execute jobs.

He commended Hydrodive for taking advantage of the Board’s Marine Vessel Strategy and advised the company to join the relevant committee of the Nigerian Content Consultative Forum (NCCF) and use the platform to advance its peculiar positions.

In his presentation, the Deputy Managing Director, Hydrodive, Mr. Lanre Okubajo acknowledged the opportunities provided by the Nigerian Content Act. He noted that the company took advantage of the law to grow its assets base, which now includes seven vessels, two saturation diving systems and 14 deep Air packages. He also disclosed that the company had concluded the refurbishing of SPDC Buoy 17021 and it will sail away in the coming week.

In his words, “Local Content gave us a great deal of encouragement and helped our operations. To us, local content is not only the right thing, it is the most commercial option to engage in.”

Okubajo however canvassed the need for the Board to engage relevant authorities to establish diving training facilities in-country with requisite international certifications. He said there were skill gaps in saturation diving which is presently dominated by expatriates.

NCDMB, stakeholders harmonize Nigerian Content Regulations

The Nigerian Content Development and Monitoring Board (NCDMB) will soon roll out Regulations that will help deepen the enforcement of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act. When finalized, the regulations will be signed off by the Minister of State for Petroleum Resources and will have the force of law.

The Board recently convened a Stakeholders Forum on the Draft Ministerial Regulations in Lagos in a bid to harmonize contributions made by various stakeholders on the documents.
Speaking at the event, the Executive Secretary, NCDMB, Engr. Simbi Wabote stated that the programme was organized in line with Sections 36, 40, 41, 42, 47, 55 and 101 of the Nigerian Content Act which empowers the Minister of Petroleum Resources to make regulations that will foster the development of Nigerian Content.

He explained that the nine draft regulations are tailored to achieve the goal of 70 percent in-country value retention within the next 10 years from the current level of about 30 percent.
According to him, “these regulations are in line with Federal Government’s drive to deepen Local Content practice as demonstrated with the issuance of Executive Orders to guide procurement of goods and services as well engagement of indigenous manpower.”

He stressed that the regulations will provide pragmatic strategies for enforcing sections of the Act as well as protect business concerns from legal tussles.
In his words, “We know that the majority of industry practitioners want to comply with laid down rules but we all know there are some out there scheming to circumvent the rules and carry out sharp practices against the government, the people and business competitors. We will stop these set of people on their tracks and bring down the full weight of the law as required.”

In his comments, the Group General Manager, National Petroleum Investment Management Services (NAPIMS), Mr. Roland Ewubare promised support for the implementation of the Ministerial Regulations. He posited that most Nigerians only began to derive real value from the oil and gas sector when the Nigerian Content Act came into effect in 2010.
Throwing his weight behind the Board’s implementation of the Act, the GGM said,” I need to make it clear that there is alignment between NAPIMs and NCDMB. So there is no opportunity for potential violators to play divide and rule game on this.”

Key industry stakeholders including the Petroleum Contactors Trade Section (PCTS), Oil Producers Trade Section (OPTS) and Oil and Gas Trainers Association (OGTAN) also promised to support full implementation of the guidelines when signed off.

In her welcome remarks, the Coordinator, Legal Services, NCDMB, Mrs. Rose Chukwuonwe explained that the event was organised to “give relevant stakeholders the opportunity to air their views, canvass their opinions and make valuable contributions/inputs that will enrich the regulations.”

The Board and its consultants are expected to collate and incorporate relevant inputs by stakeholders before presenting the regulations to the Minister for sign off.

Full integration of FPSO ll’ happen in 8 years-Wabote

…FG to prioritize oil productions with competitive costs -Kachikwu
The Nigerian oil and gas industry must strive to develop local capacities to execute full fabrication and integration of Floating Production Storage and Offloading (FPSO) vessels in-country within the next eight years, the Executive Secretary, Nigerian Content Development and Monitoring Board (NCDMB), Engr. Simbi Wabote has said.
He spoke on Tuesday in Lagos when he accompanied the Minister of State for Petroleum Resources, Dr. Emmanuel Ibe Kachikwu and other top officials of the oil and gas industry to inspect the Total Exploration and Production Nigeria Limited’s Egina FPSO docked at the SHI-MCI Yard, LADOL Free Zone.
The Executive Secretary commended Total E&P for setting high Nigerian Content benchmarks with the Egina project, in engineering, fabrication, testing, coating and integration, stressing that the challenge for forthcoming projects would be how to raise the bar. “Our aim is to stretch the limit to get more for Nigeria. Our aspiration is that come the next seven to eight years, full integration of an FPSO must happen in Nigeria.” Already the Board and major operating companies are working towards full domiciliation of FPSOs. The Zabazaba deepwater project being promoted by Nigerian Agip Exploration Limited (NAE) in partnership with Shell Nigeria Exploration and Production Company (SNEPCo) and the Bonga South West Aparo (BSWA) deepwater project also developed by SNEPCO have been planned to domicile 50 percent of the fabrication of modules and integration of the FPSOs.
He also charged other operating companies in Nigeria to take a cue from Total’s can-do attitude and their fervent belief in the Nigerian capability. “When the oil price fell to almost $27 a barrel, they did not stop the project. They continued and Nigerians were engaged.” The first key step he said, is for companies “to stop looking for waivers and change the default thinking from ‘it cannot be done here’ to ‘what do we need to do to make it happen’.”
The NCDMB boss also affirmed that the Egina project has changed the narrative about the capacities and capabilities of oil servicing companies in Nigeria. According to him, “the project simply raised the bar in local participation in various scope covering the Wells, Subsea Production Systems, Umbilicals, Flowlines and Risers, FPSO topsides, and Offloading buoy. “One of the Nigerian contractors that fabricated the Buoy completed it three months ahead of schedule. The argument often put forward by project promoters is that Nigerian Content is expensive and cannot deliver on schedule. Egina has buried that mindset for forever.”
He also underscored the need for new projects to sustain the achievements and employments that were created on the Egina project.

In his remarks, the Minister of State for Petroleum Resources commended Total for the feat noting that local capacities deployed to fabricate the Egina FPSO was sufficient to solve the nation’s electricity challenges, refine petroleum products to meet the needs of the populace, build durable roads and address other infrastructural deficiencies.
Kachikwu charged project promoters in all spheres of the energy sector to fast track their projects, noting that the Federal Government was in a hurry to industrialize the nation and increase the volume of crude oil production at competitive costs.
In view of the oil prices which currently hover within the range of 60 dollars per barrel, the Minister informed that the Federal Government will soon prioritize oil production from fields that bring more returns to the nation as against others that operate with high production costs. He said, “we will begin to pay more emphasis on where we make more money. As you look at your numbers and the terms under which you want to develop these fields, please spend a good amount of time in checking the bottom-line and what goes to the Federation Account. There is no need building a huge $70 billion facility without commensurate value addition. Those kinds of things wouldn’t happen anymore. So the terms will change and basis on which you will proceed will change.”
Also speaking, the Managing Director of LADOL, Dr. Amy Jadesimi highlighted the key roles played by the Board on the Egina project. She said, “the feat would not have been possible if NCDMB had not insisted and if Total had not taken a huge risk when nobody thought it was possible to support us. I also want to thank NCDMB for providing us the financial support.”

NCDMB donates wheel chairs, crutches to group

As part of its corporate social responsibilities and support to its host communities, the Nigerian Content Development and Monitoring Board (NCDMB) recently donated some items to the Joint National Association of Persons with Disabilities, Bayelsa State Chapter.

The items which included wheel chairs, crutches, blind guards and elbow crutches were presented to the representatives of the group led by the President, Mr. Binabo Duoduo at the Board’s headquarters in Yenagoa, Bayelsa State.

The General Manager, Corporate Services and Logistics, Mr. Abdulmalik Halilu who presented the items on behalf of the Executive Secretary of the NCDMB, Engr. Simbi Wabote, explained that the donation was part of the Board’s efforts to impact the society positively.

He charged the leadership of the group to ensure that the items get distributed fairly and to always use dialogue in engagements with government agencies and other corporate organisations.

He pledged the Board’s readiness to organise skill acquisition and other training programmes for members of the group.

Speaking after receiving the items, Mr. Duoduo thanked the Board for its kind gesture, noting that the items will improve the quality of lives of the members.

He further requested the Board to consider qualified members of the group for employment and training opportunities within the oil and gas sector.