The Nige­rian Con­tent Devel­op­ment and Mon­i­tor­ing Board (NCDMB)

MAN­DATE : The Nige­rian Con­tent Devel­op­ment and Mon­i­tor­ing Board (NCDMB) is the Agency of the Fed­eral Gov­ern­ment vested with the man­date to make pro­ce­dures that will guide, mon­i­tor, co­or­di­nate and im­ple­ment the pro­vi­sions of the Nige­rian Oil and Gas In­dust

The Africa Report - - COUNTRY FOCUS -

EQUIP­MENT COM­PO­NENTS MAN­U­FAC­TUR­ING INI­TIA­TIVE (ECMI)

The ECMI is a key plank of the Board’s im­ple­men­ta­tion pro­gram and Fed­eral Gov­ern­ment’s drive to in­dus­tri­al­ize the econ­omy and cre­ate em­ploy­ment for the na­tion’s teem­ing pop­u­la­tion. It pro­motes lo­cal man­u­fac­tur­ing of equip­ment com­po­nents, spare parts and ac­ces­sories for the oil and gas in­dus­try The im­ple­men­ta­tion is geared to get Nige­rian rep­re­sen­ta­tives of Orig­i­nal Equip­ment Man­u­fac­tur­ers (OEMS) and SME man­u­fac­tur­ers to part­ner with the OEMS and es­tab­lish fa­cil­i­ties for man­u­fac­tur­ing equip­ment com­po­nents. Lo­cal man­u­fac­tur­ing of com­po­nents used by the oil and gas in­dus­try holds the key to un­lock­ing jobs in the in­dus­try, spend re­ten­tion and in­dus­tri­al­iza­tion of the econ­omy. The ECMI is one key strat­egy to cre­ate sus­tain­able em­ploy­ment op­por­tu­ni­ties within and out­side the oil and gas in­dus­try and cre­ate en­dur­ing link­ages with other sec­tors of the econ­omy.

NIGE­RIA OIL AND GAS PARK SCHEME (NOGAPS)

NOGAPS is one of the Board’s flag­ship projects that will fur­ther help al­le­vi­ate poverty and un­em­ploy­ment in the oil and gas pro­duc­ing com­mu­ni­ties. Un­der the scheme, the NCDMB will de­velop world­class oil and gas parks in each of the nine (9) oil pro­duc­ing states of Nige­ria, that will serve as man­u­fac­tur­ing hub for equip­ment and com­po­nent parts that are used in the oil and gas in­dus­try. The pri­mary ob­jec­tives of NOGAPS are to: 1. At­tract do­mes­tic and for­eign di­rect in­vest­ment to oil pro­duc­ing states. 2. Pro­mote com­mu­nity par tic­i­pa­tion in man­u­fac­tur­ing and other in­dus­try ac­tiv­i­ties. 3. De­velop and in­te­grate the lo­cal sup­ply chain to sup­port Oil and Gas op­er­a­tions. 4. Foster men­tor­ing of lo­cal SMES by in­ter­na­tional OEMS for mu­tual ben­e­fits. 5. Fa­cil­i­tate new busi­ness start-ups, tech­nol­ogy ac­qui­si­tion and com­pet­i­tive­ness. 6. Pro­vide a range of made in Nige­ria goods for the Oil and Gas in­dus­try. 7. At­tract at least 15 OEMS to set up in the 3 parks (5 per lo­ca­tion) 8. Cre­ate over 10,000 di­rect, in­di­rect and in­duced jobs 9. Re­tain in­dus­try spend on pro­cure­ment of goods 10. Pro­mote train­ing and de­vel­op­men­tSIWES, skills ac­qui­si­tion Some state gov­ern­ments have wel­comed the scheme and helped in fa­cil­i­tat­ing the nec­es­sary ap­provals for the Board to com­mence work. Con­struc­tion work for phase 1 of NOGAPS is sched­uled to com­mence in 2017. MILE­STONES: Ac­quired land in three (3) States - Bayelsa, Cross River and Imo States Com­menced EIA stud­ies and land clear­ing for sites in Bayelsa, Cross River and Imo States · De­vel­oped mar­ket­ing strat­egy for NOGAPS

MARINE VES­SEL OWN­ER­SHIP STRAT­EGY

The ob­jec­tives of this strat­egy are to en­cour­age the con­struc­tion and dry dock­ing of ves­sels in Nige­rian yards, pro­mote own­er­ship of marine ves­sels by Nige­rian en­ti­ties, stim­u­late flag­ging and reg­is­tra­tion of ves­sels in Nige­ria, deepen Nige­rian man­ning of marine ves­sels and max­i­mize the use of Nige­rian ser­vice providers for le­gal, in­sur­ance, cater­ing, in­spec­tion & cer­ti­fi­ca­tion etc for trans­ac­tions con­nected to uti­liza­tion of ves­sels. The Board de­ployed the marine ves­sel cat­e­go­riza­tion pro­gram as the key tool of this strat­egy, us­ing in­dices like own­er­ship, site of con­struc­tion and among oth­ers. The im­ple­men­ta­tion en­sures that all ves­sels owned by Nige­ri­ans and built in Nige­ria get pri­or­ity op­por­tu­nity for en­gage­ment by in­dus­try. Re­ports are is­sued pe­ri­od­i­cally and they form the ba­sis for pre-qual­i­fi­ca­tion of marine ser­vice ven­dors by in­dus­try.

PIPEMILL SCHEME

The devel­op­ment of a lo­cal pipe mill in­dus­try is one of the seven car­di­nal tar­gets of the Board, pri­mar­ily be­cause steel line pipes are some of the crit­i­cal

in­puts in the oil and gas in­dus­try. It has high po­ten­tial for em­ploy­ment gen­er­a­tion, lo­cal value ad­di­tion, re­ten­tion of in­dus­try spend and link­age op­por­tu­ni­ties to other sec­tors of the econ­omy. The pro­jected an­nual in­dus­try de­mand of line pipe is put at over 800,000 tons, aris­ing from the de­mands from Gas Mas­ter Plan, re­place­ment of aged pipes and new fields devel­op­ment projects against the cur­rent sup­ply op­por­tu­nity of 100,000 MT (HSAW) per an­num. Cur­rently, SCC Abuja ex­panded its ca­pac­ity to pro­duce HSAW steel pipes of 270,000 Mt/an­num. Yu­long Steel Pipes has added 250,000mt per an­num HSAW steel pipes and is tar­get­ing in­dus­try need in Nige­ria and other West Africa Coun­tries. The com­pany plans sec­ond and third devel­op­ment phases that will be ded­i­cated to Lon­gi­tu­di­nal Sub­merged Arc Weld­ing (LSAW) pipes and ER Weld­ing pipes re­spec­tively.

EM­PLOY­MENT AND TRAIN­ING PRO­GRAMMES

The Board in­tro­duced sev­eral Hu­man Cap­i­tal Devel­op­ment pro­grammes, such as Geo­sciences train­ing, Ma­chin­ist Train­ing, Ar­ti­sans Train­ing, Pipe Mill train­ing, Un­der­wa­ter Welders train­ing as well as Oil Spill Man­age­ment and En­vi­ron­men­tal Re­me­di­a­tion Train­ing (OSMERT) to meet im­me­di­ate in­dus­try and host com­mu­nity needs. Project based train­ing has also pro­gressed sig­nif­i­cantly in which 10% of to­tal project man hours is be­ing al­lo­cated to train­ing on the projects. The train­ing and at­tach­ment scheme en­abled thou­sands of Nige­ri­ans to ac­quire rel­e­vant skills and are at­tached to var­i­ous projects to gain req­ui­site in­dus­try ex­pe­ri­ence. Sig­nif­i­cantly, over 30,000 di­rect and in­di­rect train­ing and em­ploy­ment op­por­tu­ni­ties have been cre­ated in the last Six years of the Act’s im­ple­men­ta­tion The Board also col­lab­o­rates with Op­er­at­ing com­pa­nies, Ser­vice com­pa­nies and other stake­hold­ers to fa­cil­i­tate on-the-job train­ings of young Nige­ri­ans in spe­cial­ized ar­eas thereby guar­an­tee­ing the Nige­rian Con­tent drive for sus­tain­abil­ity.

NIGE­RIAN OIL & GAS IN­DUS­TRY CON­TENT JOINT QUAL­I­FI­CA­TION SYS­TEM (NOGICJQS)

The NO GICJQS elec­tronic plat­form pro­vides cred­i­ble data­bank of avail­able ca­pac­i­ties in the oil and gas sec­tor, which helps in plan­ning for projects, con­tract­ing, em­ploy­ment and other ac­tiv­i­ties in the in­dus­try. Its es­tab­lish­ment is an­chored on Sec­tions 55 & 56 of the Nige­rian Con­tent Act. Specif­i­cally, NJQS helps the Board in: ·Ver­i­fi­ca­tion of con­trac­tors’ ca­pac­i­ties and ca­pa­bil­i­ties. · Eval­u­a­tion of ap­pli­ca­tions of Nige­rian Con­tent in the op­er­a­tions of oil com­pa­nies and con­trac­tors. · It also serves as a data­base pool for na­tional skills devel­op­ment.

NIGE­RIAN CON­TENT DEVEL­OP­MENT FUND (NCDF)

The Nige­rian Con­tent Devel­op­ment Fund (NCDF) was es­tab­lished by Sec­tion 104 of the Nige­rian Oil & Gas In­dus­try Con­tent Devel­op­ment Act of 2010 to fund the im­ple­men­ta­tion of Nige­rian Con­tent devel­op­ment through var­i­ous projects, pro­grammes and ac­tiv­i­ties as well as ca­pac­ity build­ing ac­tiv­i­ties to en­hance the Nige­rian Oil & Gas in­dus­try. With the in­tro­duc­tion and im­ple­men­ta­tion of the Trea­sury Sin­gle Ac­count (TSA) pol­icy by the Fed­eral Gov­ern­ment, a new model for the fund- the Nige­rian Con­tent In­ter­ven­tion (NCI) Fund was in­tro­duced. The re­vised model in­volves fi­nanc­ing man­u­fac­tur­ing ini­tia­tives in the Oil & Gas in­dus­try, with Bank of In­dus­try man­ag­ing the fund. It is un­der­go­ing rel­e­vant ap­proval pro­cesses and will com­mence upon com­ple­tion with N31 bil­lion (Naira equiv­a­lent of $100 mil­lion). The re­vised model has en­trenched the avowed Board ob­jec­tives of cheap lend­ing with longer tenor, as op­posed to the con­ven­tional short tenor with high in­ter­est rates by com­mer­cial banks.

FMC Tech­nolo­gies’ Pro­duc­tion Base, Onne, Nige­ria.

Com­mis­sion­ing of Sole­want pipe coat­ing fa­cil­ity by the Ex­ec­u­tive Sec­re­tary, NCDMB, Engr. Simbi Wabote

Marine Plat­form’s African In­spi­ra­tion. Multi-pur­pose sup­port ves­sel work­ing cur­rently for Chevron at Ag­bami field.

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