NCDMB to partner Aviators, Free Trade Authority on Nigerian Content enforcement

In a bid to galvanise collaboration with key stakeholders and ensure broad compliance with the provisions of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act, the Nigerian Content Development and Monitoring Board (NCDMB) has organized a workshop with the Nigeria Export Processing Zones Authority (NEPZA) and Lekki Free Trade Zone (LFTZ). The Board also held a separate workshop with the Nigerian Civil Aviation Authority (NCAA) and other aviation stakeholders.

The workshop with NEPZA and LFTZ was held in Lagos recently, with the intent to create a modality for effective monitoring of expatriates deployed by oil and gas companies operating in free trade zones. The Executive Secretary, NCDMB, Engr. Simbi Wabote delivered the keynote address and underscored that Nigerian Content does not encourage Nigerianisation of the industry but promotes the domestication and domiciliation of value adding activities.

According to him, Nigerian Content implementation led to the establishment of two pipe mills in the country, five pipe coating plants, mega fabrication yards, engineering design houses and created over 30,000 direct jobs, with over 6 million training man-hours among other numerous achievements.

He added that the Board’s efforts also made significant impact in the free zones like the establishment of the SHI-MCI yard in LADOL and major fabrication projects executed at the Nigerdock FZE.  He underlined that “it is crucial for NCDMB, NEPZA and LFTZ to fashion out a suitable framework for managing expatriate deployment in the free zones to ensure that we achieve the full aspirations of government and enhance capacity utilization of oil and gas facilities within and outside the free zones.”

Wabote affirmed that a framework will be developed to capture the approval process for expatriates deployed by such oil and gas facilities, outline a hitch free process to grant the Board access to free zones in other to conduct statutory performance reviews and assessment visits to oil and gas facilities and outline actions to encourage oil and gas companies to set up free zones.

In his remarks, Managing Director of NEPZA represented by the General Manager, Private Zones, Alhalji Muazu Mohammed Ruma, commended the Board for the initiative, assuring that NEPZA was ready to collaborate with the Board in the implementation of the Nigerian Content Act.

At a similar workshop with aviation stakeholders, the Board charged them to kick start the process of forming the Aviation Sectorial Working Group, which would operate as a member of the Nigerian Content Consultative Forum (NCCF), so they could address specific issues relating to their sector, especially with respect to capacity development and harnessing of opportunities in the Nigerian oil and gas industry.

The group would also utilize the NCCF platform to develop action plans, timelines and strategy that would advance the aviation subsector of the oil and gas industry.

He listed compliance issues in aviation subsector to include expatriates deployment offshore and Nigerianisation of overdue expatriate positions by aviation companies

The Director, Planning, Research and Statistics Division, NCDMB, Mr. Patrick Obah who represented the Executive Secretary also charged the aviation stakeholders to submit a proposal that would enable the Board to carry out categorization of players in the aviation service sector. Such categorization he said, would ensure that companies that demonstrate local capacity and Nigerian Content Compliance are given first consideration in oil and gas opportunities.

The Director General of NCAA, represented by the Director General Aviation, Captain Ayodele Sasegbon thanked the Board for seeking to synergize with the aviation sector and promised the support of the agency towards development of the oil and gas industry. Major aviation companies participated in the workshop and they included Bristow Helicopters, Caverton Helicopters, Atlantic Aviation, Flying Doctors, Aero contractors, Heliserve, Taucan Aviation, Tropical Artics Logistics, Arik Air, Glory Airline Services and Anap Jets.

Egina: Executive Secretary commissions biggest OLT-Buoy

says Total is pushing the boundaries of Local Content                                      

Aveon Offshore has recorded a new Nigerian Content feat with the fabrication of the biggest Offshore Loading Terminal (OLT) Buoy ever made in Nigeria and the first to be delivered ahead of schedule and launched on a dedicated slid way.

The Executive Secretary, Nigerian Content Development and Monitoring Board (NCDMB), Engr. Simbi Wabote and the Managing Director of Total Exploration and Production Nigeria, Mr. Nicolas Terraz commissioned the buoy on Wednesday in Port Harcourt, Rivers State. It will be used to offload crude oil from the Egina’s Floating Production Storage and Offloading vessel.

Wabote spoke at the event and commended Aveon Offshore for another sterling execution of a project. “With an assemblage of over 1,300tonnes of steel for this buoy, I am happy you did not cave in under the weight of the challenges but you have once again proved your mettle.”

He noted that many other Nigerian service companies performed creditably on different scopes of the Egina deepwater project. “This flagship project has provided a good opportunity for Nigerian companies to demonstrate their capacity and maturity since the enactment of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act in 2010.” He further charged Nigerian oil and gas service providers to always deliver on any project they are contacted to do. “It is one thing to win a contract; it is another thing to deliver the contract scope timely and safely.”

He also expressed hope that future projects such as Zabazaba, Bonga South-West, Ekike, Owowo and others would utilise the capacities already developed in meeting and exceeding the Nigerian Content targets stipulated in Nigerian Content Act.

The Executive Secretary commended Total for their wonderful disposition towards the development of Local Content in the Nigerian oil and gas industry. “Total remains at the fore-front of pushing the boundaries of the local content practice and we are proud of the various Nigerian Content achievements under the Egina project despite the initial challenges.”

Other operators, he counselled, should adopt a similar attitude in the delivery of their projects, focusing on what can be done to comply with the law rather than looking for ways to circumvent the provisions of the law.

On the need for new projects to sustain the capacities that have been developed, Wabote said the Board was working closely with the National Petroleum Investment Management Services (NAPIMS) so that new projects can come on stream quickly.

In his speech, the MD of Total confirmed that “this is the first Turret Buoy designed in Nigeria with in-service replaceable wheel bearing system.” He emphasized that the project achieved approximately two million man-hours with Zero Lost Time Injury (LTI). “For Total, safety is a core value because we believe that nothing can truly and sustainably be achieved in our industry without an unconditional respect for the highest safety standards.”

Vice President of NOV APL – the main contractor to Total on the project, Mr. Janborre Sannaes stated that 98 percent of the engineering on the OLT buoy was executed in Nigeria while the project management and procurement were also managed in-country. He asserted that the newly constructed slid way would serve many other projects.

Earlier in his comments, Chairman of Aveon Offshore, Mr. Tein George disclosed that the company had no prior experience on a similar project but NOV APL and NCDMB gave their backing and Total got convinced to have the company execute the fabrication of the buoy.

He also pleaded with the Federal Government and the international operating companies to approve new projects to ensure that the skills that were acquired and facilities developed on the Egina project would not be lost. He also asked the Executive and Legislative arms of the Federal Government to clarify the fiscal terms in the Petroleum Industry Bill (PIB), noting that many operating companies were delaying new investments because they want to be sure of the new terms that would determine the viability of their investments.

NCDMB’s Akwa-Ibom ICT Centre gets accreditation, begins training

The Information and Communication Technology (ICT) Centre built by the Nigerian Content Development and Monitoring Board (NCDMB at the Community Secondary Grammar School, Ebughu, Mbo Local Government Area in Akwa Ibom State has been granted provisional accreditation by the Computer Professionals Registration Council of Nigeria (CPN).

The accreditation has paved the way for students trained at the centre to be certified with Computer Appreciation Certificates at the end of their courses.

The General Manager, Corporate Communications and Zonal Coordination Division, NCDMB, Dr. Ginah O. Ginah stated this on Friday at the commencement of a training programme for students of the school on computer appreciation. He affirmed that the Board’s efforts to establish the ICT centre and get it certified was in furtherance of its mandate to build human and infrastructural capacities in the oil and gas industry.

Ginah explained that “the purpose of this initiative is to catch them young. We believe that by introducing young students to computer education they will pick up fast and use the knowledge to develop in-country capacities in the oil and gas industry in years to come.”

He informed that training programmes at the ICT Centre will run for six months while the contract for computer instructions and maintenance of the facility is for one year.

The ICT Centre was commissioned by the Board in November 2017  and is fully equipped with state of the art desktop computers, projector, printer and photocopier, all powered by a generating set with a backup inverter, the intent being to enhance the computer literacy of secondary schools students in the Niger Delta region.

The Principal of the School, Pastor Eka Etuk thanked the Board for establishing the ICT Centre and securing accreditation for it. He expressed hope that the centre would make the students conversant with the use of computers which had become a critical skill since the introduction of Computer Based Tests (CBT) by the Joint Admission and Matriculation Board (JAMB). He also pleaded with the Board to replicate similar centres in other rural communities across the country.

NCDMB Commissions ICT Centre in Bayelsa State

The Nigerian Content Development and Monitoring Board (NCDMB) has commissioned an Information and Communication Technology Centre at the Nembe National Grammar School (NNGS) in Nembe Local Government Area, Bayelsa State.
The initiative is intended to enhance information technology literacy among secondary school students in a conducive environment. The centres are equipped with state of the art computers, projectors, printer, photocopier and is powered by a generating set with a backup inverter to ensure stable and constant power supply. He added that the ICT Centre has a computer instructor, internet facility and a maintenance contract.
In his opening remarks, the Executive Secretary of NCDMB, Engr. Simbi Wabote represented by the General Manager, Corporate Communications and Zonal Coordination, Dr. Ginah O. Ginah explained that the Board’s mandate is principally to build capacities in the oil and gas industry, including human capital. He added that the Board is working to create employment opportunities, increase the number of industry contracts awarded to indigenous service companies and incubate local research in the country.
In his remarks, the principal, Nembe National Grammar School, Sir George N.D. Egi commended the NCDMB for sitting the ICT Centre in their school. He stated that Shell Petroleum Development Company (SPDC) had mooted a plan to provide the same service for the school in the past but failed, adding that the school will ensure that the centre is well maintained.

NCDMB Begins Forensic Audit of Unremitted NCDF Deductions

With effect from June this year, the Nigerian Content Development and Monitoring Board (NCDMB) will begin third forensic audit of all unremitted deductions by oil and gas companies meant for the Nigerian Content Development Fund (NCDF). The impending exercise was announced by the Executive Secretary of NCDMB, Engr. Simbi Wabote at the two-day Stakeholders Sensitization Workshop on NCDF Remittances Template under Treasury Single Account (TSA) in the Central Bank of Nigeria (CBN), which started yesterday at Eko Hotel & Suites in Lagos.

In his keynote address, Mr. Wabote explained that the workshop was convened for two main reasons: To sensitize stakeholders on how to remit the 1% deductions from petroleum upstream contracts into the Board’s TSA account with the CBN; and secondly, to intimate the industry of the commencement of third party forensic audit, which will trace and recover all unremitted NCDF deductions from concerned companies.

He reiterated that the 1% deduction from contracts awarded in the petroleum upstream sector is a statutory obligation, as provided under section 104 of the NOGICD Act, 2010. Consequently, failure to remit NCDF deductions is a violation of the Act and, in fact, economic sabotage. He frowned at the artful ways some stakeholders have tried to evade paying the levy thereby frustrating the lofty idea behind the establishment of the Fund. He reminded participants that the Fund was established to support the development of local capacities for the Oil and Gas Industry.

He hinted that the workshop became necessary in view of feedback by stakeholders about glitches they encounter in making remittances through the CBN TSA Platform. “As a responsive organization, we felt it expedient to walk users through the processes and procedures under the platform to minimize hiccups and ensure online real-time and seamless remittances”, he added. He assured participants that the resource persons drawn from CBN and System Spec Group, the operators of the REMITA platform would clarify and guide users of the platform to operate it with easy and efficiency after the workshop.  He commended companies that have been remitting faithfully, but warned that defaulting companies would be sanctioned, unless they take quick steps to approach the Board and clear the arrears before they are found out by the forensic audit.

In his presentation, Mr. Jack Ukitetu, Deputy Director, CBN explained the processes and procedure for remittances of NCDF in foreign currencies into the Board’s TSA account with CBN, while Mr. Dogara Usman of System Spec Group walked the participants through the NCDF Remittance Template in Naira payments via the REMITA platform in CBN.

NCDMB, ACSSN inaugurate committee on marine services

The Nigerian Content Development and Monitoring Board (NCDMB) and the Association of Chandlers and Ship Suppliers of Nigeria (ACSSN) have inaugurated a joint committee tasked with suggesting new strategies that would promote the utilisation of Chandlers and marine related services in the Nigerian oil and gas industry.

The committee was inaugurated on Wednesday at the Board’s headquarters in Yenagoa, Bayelsa State. Members drawn from the NCDMB include Engr. Jefferson Tuatongha, Engr. Gabriel Okpetu, Engr. Joshua Chidienem and Engr. Adedamola Aderibigbe. Representatives of ACSSN on the committee are Mr. Vickson Ossai Aghanenu, Mr. Siki Fibersima, Mr. Ademola Ogundare and Mrs. Victoria Bens Sodipo.

Inaugurating the committee, the Executive Secretary, NCDMB, Engr. Simbi Wabote stated that the Board had introduced several initiatives aimed at growing Nigerian Content in the marine sector, one of which is the Marine Vessel Categorization. He noted that the policy had significantly reduced the contracting cycle for selecting marine vessels in the industry.

In his comments, Director, Monitoring and Evaluation, NCDMB, Mr. Akintunde Adelana advised the committee to work speedily to deliver on its terms of reference, adding that the Board would develop a proposal and share with the Department of Petroleum Resources (DPR) and the Nigerian Petroleum Exchange (NipeX) with respect to creating a sub-category for Chandler Services, which will enable the extraction of more Nigerian Content deliverables from oil industry and marine services contracts.

NCDMB Pledges Support for Cable Manufacturers

Cable manufacturers in Nigeria will get all necessary support they need to boost their capacities and meet the expectations of the oil and gas industry, the Executive Secretary, Nigerian Content Development and Monitoring Board (NCDMB), Engr. Simbi Wabote has said.

The Executive Secretary made the commitment during a recent facility visit to Kabelmetal Nigeria Plc and Miccom Wires and Cables on Thursday in Lagos.  He explained that oil and gas operations requires lots of cables, adding that the importation of cables will be resisted since local cable manufacturers are capable of meeting the needs of the oil industry.

He described the importation of cables as a negation of the tenets of the Nigerian Content Act, assuring that “we will work with you to ensure that those activities are domiciled in the country and your organizations are patronized. We will ensure that players in the oil and gas industry stop importation of cables that can be produced in Nigeria.”

While commending the companies for their investments, he charged them to maintain high quality standards, adding that the Board would not support mediocrity in the name of Local Content. He said, “Considering the risky nature and high intensive of this industry, high quality and standards must be maintained.”

In his presentation, the Chief Executive Officer, Kabelmetal Nigeria Plc, Robert Kretschmer, said the company plans to commence the production of shipboard cables which is a new technology. He stated that no Nigerian company had ventured into the production of this type cables because of the technicalities and investments required.

In her speech, the Chief Operating Officer, Miccom Cables and Wires, Mrs. Bukola Adubi revealed the company’s plans to manufacture High Voltage Cables in-country and sought the support of the Board to maximize utilization of local resources especially in the production of raw materials required for the cable production.

Corp Members Caution Youths on Cultism, Drug Abuse

As part of their community development service, members of the National Youth Service Corps (NYSC) deployed to the Nigerian Content Development and Monitoring Board (NCDMB), Yenagoa, Bayelsa State, recently organised a sensitization programme for secondary school students in the state on the dangers of cultism and drug abuse.

The corps members are part of the 2017/2018 Batch A of the scheme and they organised the programme at the Central Epie Secondary School, Opolo, Yenagoa.

In his opening remarks, the Executive Secretary of NCDMB, Engr. Simbi Kesiye Wabote who was represented by the General Manager, Planning, Research and Statistics Division, Alhaji Abdulmalik Halilu explained that Nigeria has a population of 150 million and about 40 percent of the populace often engage in various forms of drugs abuse, which predisposes some persons to armed robbery, kidnapping and other social maladies in the society.

 

He lauded the partnership between the Board and the NYSC to sensitize the youths on the dangers of drug abuse and on the need to adopt healthy lives expected from leaders of tomorrow.

 

Halilu advised the youths to avoid bad influence from their peers, adding that taking drugs without prescription from qualified medical personnel amounts to drug abuse. In his words, “drug abuse leads to bad health, depression, loss of control and untimely death.” He challenged the Federal and respective state governments to provide qualitative education system for the citizenry, employment opportunities, affordable healthcare and drug control mechanisms.

In his presentation, the Project Accountant, NCDMB Headquarters building project, Mr. Sodiq Bukar urged youths to shun drugs and cultism as they are tools for destruction in this modern age. He said “I encourage you to be prudent with your finances and not to waste your resources on drugs because they will lead you to poverty.”

In her remarks, the Vice Principal, Community Comprehensive Secondary School, Opolo, Yenagoa Mrs. Abah Karinade commended the Board and the Corps members for the initiative to eradicate cultism and use of illicit drugs amongst the youths. She pointed that the only way to aspire to economically developed state and Nigeria is for youths to shun drug abuse, cultism and other social vices.

NCDMB, OPTS sign agreement to shorten oil industry contracting cycle

The Nigerian Content Development and Monitoring Board (NCDMB) and the Oil Producers Trade Section (OPTS), the umbrella body of major international and indigenous operating oil companies on Wednesday in Lagos signed a Service Level Agreement (SLA) aimed at shortening the often protracted industry contracting cycle.
The SLA commits the 28-member OPTS companies to comply with the provisions of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act, essentially to submit to the NCDMB documents like their Quarterly Job Forecasts, Nigerian Content Plans, Bidders Lists, Nigerian Content Evaluation Criteria, Nigerian Content Technical Bids among other relevant information in relation to industry contracting and procurement cycles. On the other hand, the Board pledged to respond on specific timelines and committed that should it fail to meet the set deadlines, the companies can proceed with their tendering processes after duly informing the Board.
The Executive Secretary NCDMB, Engr. Simbi Wabote signed on behalf of the Board, while the Managing Director of ExxonMobil Nigeria, Mr. Paul McGrath signed on behalf of the OPTS. The Managing Director of the Nigerian Agip Oil Company (NAOC), Mr. Massimo Insulla; Managing Director of Chevron, Mr. Jeff Ewing and the Managing Director of Total Exploration and Production Nigeria, Mr. Nicolas Terraz witnessed the event.
Others industry leaders that participated in the event as well as a prior meeting to discuss areas of collaboration with operators and the NCDMB on reducing the duration of industry tendering process included the Commercial Director of Shell Petroleum Development Company (SPDC), Mr. Martin Foley, who represented the Managing Director of the company and the Group General Manager of the National Petroleum Investment Management Services (NAPIMS), a subsidiary of the Nigerian National Petroleum Corporation (NNPC), Mr. Roland Ewubare.
The SLA with the OPTS is sequel to the one entered between the Board and the Nigerian Liquefied Natural Gas Company (NLNG) in May 2017, which was the first between a regulator and another entity in the Nigerian oil and gas industry.
Speaking at the event, the Executive Secretary explained that the SLA with the OPTS was in furtherance of the Board’s efforts to meet the target set by the Minister of State for Petroleum Resources, Dr. Emmanuel Ibe Kachikwu, for the industry contracting cycle to be shortened to six months. This initiative is also in line with the Presidential Executive Order 001, which promotes Ease of Doing Business in Nigeria. Initiatives by the NCDMB had helped to cut the cycle significantly to 14 months from 24-36 months which had obtained in the past.
Wabote stressed that operations of the oil and gas industry were time sensitive adding that a shortened contracting cycle would cut the cost of projects considerably.
He noted that the SLA signed with the NLNG had improved the turn-around time of approvals between the two establishments, informing that the Board was working to sign a similar agreement with the Indigenous Petroleum Producers Group (IPPG).
In his comments, the Managing Director of ExxonMobil thanked the Executive Secretary for the wonderful initiatives he had introduced since assuming office a year and half ago. He stated that the OPTS members contributed in the development of the SLA and they will ensure compliance.

Kachikwu performs ground-breaking of Bayelsa Oil & Gas Park

… FG to extend project beyond N/Delta

 The Minister of State for Petroleum Resources, Dr. Emmanuel Ibe Kachikwu on Friday performed the ground-breaking of the Nigerian Oil and Gas Park being developed by the Nigerian Content Development and Monitoring Board (NCDMB) at Emeyal-1, Ogbia Local Government Area of Bayelsa State.

The park will generate about 2000 jobs when it begins full operation and create a regional low-cost manufacturing hub that will produce equipment components and spare parts to be utilized in the nation’s oil and gas industry.

The Board is working to establish oil and gas parks in five oil producing states, with the Emeyal-1 project the second to take-off.  A similar ground-breaking event was held early March at Odukpani, Cross Rivers State. The other sites are located at Oguta in Imo State, Ikwe-Odio in Akwa Ibom State as well as in Delta State.

Speaking at Emeyal-1, the Minister stated that the Federal Government plans to develop similar projects in other parts of the country so as to extend the benefits to more Nigerians. According to him, “We will work with the Board and provide everything that is needed for the projects. After the development of the five pilot parks in the Niger Delta states, we will extend this very innovative idea to other parts of Nigeria where oil has either been found or is being explored.”

Kachikwu affirmed that “this initiative will send a message to investors that Bayelsa is ready for oil and gas business and drive home the point that the park will bring about localization of indigenous companies, where fabrication,  pipe milling, procurement hubs and oil and gas related technologies will flourish.”

In his welcome address, the Executive Secretary, NCDMB, Engr. Simbi Wabote confirmed 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.”

He informed that the park will be provided with uninterrupted power supply to address the electricity challenge which often besets most Nigerian manufacturers and businesses.

The Executive Secretary described the ground-breaking as a great step towards achieving one of the Board’s key mandates, adding that “this project will positively impact Bayelsa State in general and Emeyal community and its environs in particular. Citizens of the host community and environs will also benefit from on-the-job training opportunities.”

Wabote appealed to the host community to support and defend the project so it will be completed on schedule, warning that it will be relocated if it faces unreasonable demands and disruptions.

In his remarks, the Governor of Bayelsa State, Honourable Henry Seriake Dickson represented by the Secretary to the State Government, Mr. Kemela Okara commended NCDMB for siting one of the oil and gas parks in the state. He acknowledged that NCDMB had been a veritable partner of the State Government and had contributed to the growth and development of Bayelsans.

Okara asserted that the Government was determined to industrialize the state and will support every effort designed to complement its efforts. “As a state we will support the execution of this project and ensure there is peaceful and conducive environment to aid the speedy completion as planned.”

The Obanobhan III of Ogbia Kingdom, His Eminence, King Dumaro Charles-Owaba assured the Board that the community is peaceful and the project will not be disrupted. He solicited that more investments should be sited in the community to create employment opportunities for youths.