The Nigerian Content Development and Monitoring Board (NCDMB) has identified 18 indigenous companies qualified to manufacture essential oil and gas equipment locally following an assessment of about 60 firms.
The board disclosed this at a stakeholders’ meeting in Port Harcourt, Rivers State, on Monday, where industry representatives discussed measures to implement recommendations aimed at strengthening domestic production of critical petroleum industry components.
In a statement issued on Tuesday by its General Manager of Corporate Communications, Obinna Ezeobi, the NCDMB said the assessment examined the challenges limiting the growth of local manufacturing and identified areas requiring targeted support.
The study, commissioned on July 7, 2022, and completed with the submission of its report on July 12, 2023, focused on expanding Nigeria’s capacity to produce pumps, valves, flanges, gaskets, bolts, nuts, metering systems and instrument fittings.
The board explained that increasing local production of these components would strengthen Nigerian content in the oil and gas industry, given their importance to petroleum operations and their contribution to capital and operating costs.
Representing the NCDMB Executive Secretary, Felix Ogbe, at the meeting, the General Manager of Institutional Development in the Capacity Building Directorate, Olugbenga Sheba, said the initiative was designed to boost indigenous businesses, improve technical expertise and increase the value retained within Nigeria’s economy.
He noted that the Nigerian Oil and Gas Industry Content Development Act, 2010, provides the legal foundation for prioritising Nigerian goods and services in the industry.
Sheba added that implementing the study’s recommendations would create more opportunities for qualified local manufacturers to supply equipment for major oil and gas projects.
He described the initiative as part of the board’s 10-year strategic roadmap, which aims to achieve 70 per cent Nigerian content by 2027.
According to him, the programme would address gaps in technical skills, technology and manufacturing capacity that have constrained the growth of indigenous suppliers.
The NCDMB identified improved infrastructure, specialised training, access to financing, strategic partnerships and stronger monitoring and enforcement as priorities for developing the sector.
Sheba called on local manufacturers, oil and gas operators, service providers and financial institutions to work together to ensure the recommendations translate into sustainable industrial growth.
Also speaking, the Assistant Manager of Institutional Strengthening in the Capacity Building Directorate, Nander Salmwang, highlighted the obstacles facing local equipment manufacturers and the need for interventions to expand their production capacity.
Meanwhile, the Manager of the Nigerian Content Development Fund, Emmanuel Yusuf, outlined financing opportunities available to indigenous companies and community contractors, noting that the fund could help them expand their businesses and increase participation in the industry’s supply chain.
