Low Oil Prices: Policies to Sustain Nigerian Content Underway, Says Kentebe

The Executive Secretary of Nigerian Content Development and Monitoring Board (NCDMB), Mr. Denzil Kentebe has that as part of the efforts by the various stakeholders to brace up to the challenges arising from the drop in oil prices, the agency will develop policies to protect local capacities that had been developed by oil and gas service companies over the past five years of implementing the Nigerian Content Act.

Speaking at a recent event marking the load-out and sail- away of the Sonam Non-associated gas Wellhead Platform (NWP) topside held at the Nigerdock yard in Snake Island, Lagos, Kentebe harped on the need to ensure that such achievements are sustained and that the gains recorded over the years are not eroded as a result of the crash in oil prices and cut back on projects.

“While we celebrate these feats, we are mindful of the current economic environment, lull in business and threat to these capacities,” Kentebe said.

Kentebe explained that the new strategies will require all stakeholders of the industry to work together to see that new projects come out to sustain jobs and capacity in Nigerian facilities. He added that the Federal Government was already taking steps to bring all stakeholders to the table to work out solutions to the challenge.

The Executive Secretary hailed the commitment of Nigerdock to the development of Nigerian Content, recalling that the company had recorded many firsts on several projects, including modules fabricated on USAN and Ofon for Total, Abang and Itut topsides for ExxonMobil and Meren and Sonam topsides for Chevron.

“The capacity has not only been sustained but increased over time. Thousands of Nigerians have continued to be employed and trained. Nigerian suppliers have also been built up on the back of these projects and activities,” he added

The Executive Secretary challenged other service providers to take a cue from Nigerdock and deliver quality and efficient service when given the opportunity, noting that every stakeholder hasa part to play in making Nigerian Content work.

In his speech, Chairman of Nigerdock, Mr. Anwar Jamarkani disclosed that there has been a dramatic increase in the capability of indigenous companies since the signing of the Nigerian Content Act in 2010. He asserted that “many companies in Nigeria were inspired by the bold steps taken by Nigerdock and the Jagal Group.”

Jamarkanisaid the company was ready to take on more ambitious projects, stressing that Nigeria must domesticate its work in-country to be able to develop, build it future and train its youths.