The Nigerian Content Development and Monitoring Board (NCDMB), in collaboration with oil and gas stakeholders, has initiated steps to implement recommendations from an industry-wide study on in-country manufacturing of key components.
At a stakeholders’ meeting held on Monday in Port Harcourt, Rivers State, to define practical strategies for implementing the report, aimed at expanding local manufacturing capacity, empowering indigenous enterprises, and reducing reliance on imported components, the Executive Secretary, NCDMB, Engr Felix Omotsola, represented by Mr, Olugbenga Sheba, said the Board was committed to drive local capacity, promote industrialisation, and maximise value retention.
On July 7, 2022, the NCDMB commissioned a diverse oil industry team to develop a strategy for in-country manufacturing of pumps, valves, flanges, gaskets, bolts and nuts, metering solutions, and instrument fittings, and the team submitted its report on July 12, 2023.
The study was initiated after local manufacturing of these components was identified as essential to advancing Nigerian content, given their significant role in sustaining oil and gas production uptime and their substantial share of both operating and capital expenditures.
NCDMB BOSS emphasised that the report was initiated to develop the capacity to manufacture critical industry components within the country and strengthen indigenous enterprises, improve technical competence, and position Nigerian companies to participate more effectively in the supply chains of major oil and gas projects.
“Today’s rollout is not an isolated initiative; it is an integral pillar of our NCDMB 10-Year Strategic Roadmap, which targets achieving 70% Nigerian Content by 2027,” he stated.
He explained that the implementation of the study report would directly advance the technical capability development pillar of the Board’s 10-Year Strategic Roadmap by addressing identified skills gaps, technological deficiencies, and limitations in local manufacturing capacity.
In his presentation, Assistant Manager Institutional Strengthening of the Capacity Building Directorate, Mr. Nander Salmwang, disclosed that approximately 60 indigenous companies had been identified in the assessment, of which only 18 met the required criteria. He also highlighted challenges affecting the development and expansion of in-country manufacturing capacity, underscoring the need for targeted interventions to bridge existing gaps.
Similarly, Manager, Nigerian Content Development Fund (NCDF), Mr. Emmanuel Yusuf presented funding opportunities available through the NCDF, explaining the relevance of financial support to indigenous companies and community contractors seeking to strengthen their operations and participate more actively in the industry’s supply chain.
The meeting also highlighted the relevance of the Nigerian Oil and Gas Park Scheme (NOGaPS) in supporting the development of local manufacturing infrastructure and capabilities.
