Increase Investments In Nigeria, NCDMB Urges NLNG
….Says Train 7 Now 30% Completed
Fred Omotara, Lagos
The Nigerian Content Development and Monitoring Board (NCDMB) has urged the Nigeria Liquified Natural Gas (NLNG) Limited to consider further LNG investments in Nigeria, stating that Qatar already had 14 LNG trains and is still looking to increase its investment.
Disclosing this on Wednesday when he received the Managing Director of the NLNG, Dr. Philip Mshelbila and his management at the Nigerian Content Tower, Yenagoa, Bayelsa State, the Executive Secretary of the NCDMB, Engr. Simbi Kesiye Wabote explained that Nigeria needs to grow its LNG capacities, especially with the world’s clamour for energy transition and Federal Government’s declaration that gas is Nigeria’s transition fuel.
The Executive Secretary commended NLNG for its impressive compliance with the provisions of the Nigerian Content Act, adding that the Board has continually fulfilled its obligations on the Service Level Agreement. He expressed delight with the progress being made with the execution of the LNG Train 7 project, noting that it had reached about 30 percent completion.
He also stated that the worth of the Train 7 project is about $5bn, which represents huge foreign direct investment (FDI) into the Nigerian economy.
Other economic benefits include the creation of 10,000 direct jobs and about 40,000 indirect employment opportunities.
He added: “There are also upstream projects that are currently being approved that will supply gas to Train 7. Those upstream projects will lead to additional $6m foreign direct investment into the country. This will create employment opportunities, touch the lives of families, raise the profile of the country as a major LNG LNG producer and increase our domestic LPG (cooking gas) production. Train 7 is already providing a lot of jobs for Nigerian contractors, fabricators, logistics companies and more. The benefits are enormous.”
He assured that the Board will continue to collaborate closely with the Nigeria LNG, especially to ensure deeper LPG (cooking gas) penetration into the Nigerian market, hinting that NCDMB had partnered with several investors towards improving the accessibility of LPG.
Speaking earlier, the NLNG Managing Director explained that the visit was conceived to introduce the company’s new management team to the NCDMB.
He stated that “NLNG and NCDMB have a special partnership that is beyond operator and regulator relationship. We started this relationship when we signed a Service Level Agreement (SLA) a few years ago and it put in place standards by which we would work together and ensure compliance and guard against surprises.”
He said the current plan is to take the relationship further and beyond complying with the provisions of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act. He said the reason is because “NLNG has a vision not just to be a globally competitive NLNG business, but to help build a better Nigeria. To do that we have to work closely with the NCDMB and raise our partnership to a new level, and that includes human development, research, and other areas.”
NLNG and NCDMB later set up a tactical team comprising nominees from both organizations to drive closer collaboration on projects, ensure compliance with Nigerian Content obligations and promote other strategic alliances for the good of the nation’s economy