Nigeria retains $14bn annual oil and gas spend In-Country

The federal government has given the assurances that out of the $20 billion spent by International Oil Companies (IOCs) in engaging foreign contractors, $14 billion would be retained in-country in the next 10 years.

Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Simbi Wabote, at the first Education Summit organised by the Oil and Gas Trainers Association of Nigeria, OGTAN, in Lagos, said already the agency has achieved $5 billion annually through effective implementation of the Local Content Act.

Wabote also revealed that besides the remaining 5 per cent of the industry spend, 300,000 jobs were also created.

The Executive Secretary further revealed plans to create a Research and Development Fund in collaboration with the academia to foster research and development in the oil and gas industry.

He stated that the agency is shifting emphasis from building capacity to skill development that gears towards engagement of those that benefit from the training.

It was aid that the NCDMB has developed a 10 year strategic plans that will facilitate achievement of the ambitious 70 per cent in-country job retention set by the agency.

Wabote added that the agency would continue to pursue all the identified parameters that are germane to building strong local content structure in the country.

These parameters include, capacity building, strong regulatory framework, gap analysis, research and development and funding and incentives.

the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC),  Maikanti Baru, emphasized the need for Nigeria to develop and adopt research and development structure that will create opportunities in the industry through risk reduction and production cost.

Baru promised to collaborate with OGTAN to accelerate skills development in the industry in order to keep pace with global changing environment.