Energy  

NNPC restates commitment to local content

THE Nigerian National Petroleum Commission (NNPC), has reiterated its commitment to promote indigenous participation in the nation’s oil and gas sector.

   Speaking during a visit to the fabrication yard of Kaztec Engineering Limited at Snake Island, Lagos, the Group Executive Director, Engineering and Technology, Adebayo Ibirogba, said NNPC was ready to partner with local operators to improve its businesses.

   “Since we have indigenous fabricators, it is very important that we come to see what they have done and access to what extent they can improve our own business. Just like they are integrated we are also integrated and we want to produce more oil, we want to covert the oil into petroleum products and promote Nigerian products as a means to achieve growth for the nation”, he said.

   Expressing satisfaction over the new yard, Ibirogba said, NNPC is shopping for value added services and that it was necessary to visit the site so as to see for itself and assess what the local fabrication yard was doing to enhance oil production in the country.

 Ibirogba however said, there must be increase activities at the onshore to ensure that local fabrication yards are engaged. 

   He described Keztec Engineering Limited as a reputable client, noting that the industry has been confronted with challenges as a result of the fall in crude oil price so “we are looking for value added at every point in the value chain”, Ibirogba stressed.

  “The on-going global development in oil and gas sector may force operators to review their prices, since the competition is high, only best bidders with more affordable prices for quality job would be patronised”, he noted.

  Speaking on lean asset management, Ibirogba said, lean asset managers would benefit from development in technology, which would increasing production and help reduce the cost of production thereby helping marginal fields’ operators.

The new fabrication yard was already completing a 160 meter long jacket Antan production platform for oil and gas exploration.

   The Managing Director of Kaztec Engineering Limited, John Niezer said the project which is expected to last for about four months and other projects in the oil and gas sector across the country are at risk if the price of oil drops at the international market below $20.

 



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