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Jonathan’s Local Content Policy Through $150m Oil And Gasparks by Nobody: 9:25am On Sep 15, 2014
Unlike other policies in the oil and gas sector of the economy,
the implementation of the Nigerian local content policy of
President Goodluck Jonathan is setting new pace in the
creation of local players and economic activities, including the
proposed $150 million oil and gas industrial parks.
The proposed park, with the capacity to create oil and gas
manufacturing companies in the chosen states of the Niger
Delta region, is set to kick-start its first phase, with $10 million
in terms of training of about 47 youths and zonal coordinators
from the zone and the setting up of a self-growing organic
system for businesses and investments.
Unveiling the newly trained-youths at the Aridolf Hotels and
Events Centre, Yenagoa, the Bayelsa State capital, the director
of Finance and Personnel Management of the Nigerian Content,
Monitoring and Development Board (NCMDB), Engr. Ita
Anyone, said the 47 youths selected and trained by the board
are expected to participate in the proposed increase in local
capacity building and utilization of local facilities.
In the unveiled plan for the proposed oil and gas industrial
parks, the facilities will be located in three zones including
Akwa Ibom/Cross River zone located along the Calabar
industrial layout, the Imo/Abia zone located at Oguta
community with 25 hectares of land provided for the project.
Also to be served by their oil and gas industrial parks are the
Bayelsa/Rivers zone sited in Otuoke community of Ogbia local
government area, while another will be located in Ilaje
Community of Ondo State.
According to the proposed financing of the project, the Federal
Government is expected to enter into partnership with oil
multinationals and banks, as the first phase is expected to gulp
the sum of $10 million depending on the park’s nature of
operations and environment.
The project duration is fixed at 10 years with its structures
becoming organic that will grow by itself and operators in the
park.
While the representative of the Bayelsa State commissioner for
Trade and Investment, Mr. David Agonobi, commended the
management of the NCMDB of the initiative, the representative
of the oil producers trade section (OPTS) of the Lagos
Chamber of Commerce and Industry (LCCI), Engr.Sola
Ogunsakin described the proposed oil and gas industrial park
as a new dawn for the economy of the Niger Delta region.
The OPTS, which is a sub-group within the LCCI and made up
of both local and foreign-owned companies registered in
Nigeria and hold an Oil Prospecting License or an Oil Mining
License, predicted that the proposed park will be a success in
the region.
The sub-group, which currently has 18 member-companies
made up of the Chevron, ConocoPhillips, Dubri, Addax, Nigeria
Agip Oil Company (NAOC), Pan Ocean, Shell, Total, Seplat,
Neconde, Nexen, Moni Pulo, Statoil, ExxonMobil, Petrobras,
Afren, Sapetro and Oando, declared support for the project.
According to Ogunsakin, “Though the setting up of the park
and its operation may not be easy, it will be a thing of success
at the end. It will motivate huge domestic and industrial
activity and attract huge employment opportunities.”
Earlier in his speech, the executive secretary of the NCMDB,
Engr. Ernest Nwapa, explained that the concept of an oil and
gas industrial park in the Niger Delta region is part of the
vision of the administration of President Goodluck Jonathan to
take the region away from its present state into a new
economic boom.
Nwapa said, “The proposed oil and gas industrial park is not
just about buildings. The project will develop a new direction
and create more businesses in the region. The park will
generate small and large businesses. It will also provide
opportunity for research and development. We have mapped
out the project not to become another white elephant projects.”
A check through the past achievements of the local content
policy of the Jonathan-led administration, under the watch of
the NCMDB showed that it has ensured the escalation of the
historic use of made-in-Nigeria pipelines by Exxon Mobil
recently at its Edop-Idoho Offshore field, secured the
placement of over 100 kilometres of pipelines orders in
Nigeria’s only pipe manufacturing company, SCC Abuja.
Continuing, the NCMDB boss said, “It has ensured the increase
of in-country fabrication tonnage from 1,000,000 in 2009 to
1,200,000 currently, advanced talks with Jiangsu Yulong of
China to establish 250,000 tons per annum LSAW pipe mill in
Nigeria, initiated the establishment of deep water port in a
major upcoming project, developed the Nigerian oil and gas
employment and training strategy, which has resulted in the
absorption of over 5000 engineers, geologists, welders and
other skill sets into the industry and formed the basis of a
national skill database.
“The Nigerian Content activities have already generated over
30,000 direct and indirect jobs and will surpass 300,000 within
the next four years. NCMDB has designed and launched the
Nigerian Content Joint Qualification Standards, an electronic
platform for the Board’s implementation of the NOGIC Act,
especially its capacity Building & Monitoring functions.
“It has led to the establishment of the Nigerian Content
Development Fund, to be used for investment in Oil & Gas
infrastructure, provide partial guarantee for service providers,
manufacturers. NCDMB developed Indigenous Marine Vessel
and Offshore Assets Acquisition Strategy to promote utilization
of marine vessels and offshore rigs/equipment with genuine
Nigerian ownership in all O&G operations to increase the
participation of Nigerians, empower communities, and
maximize Nigerian crew.
“The NCDMB has developed an Original Equipment and Local
Component Manufacturing Strategy to promote utilization of
materials of Nigerian origin in oil and gas industry and ensure
the establishment of equipment manufacturing plants that will
employ thousands.
source: www. leadership.ng/news/384072/jonathans-local-content-policy-150m-oil-gas-parks

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