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‘Egina, Pushing Nigerian Content Frontier’

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Being a text of a keynote address by the Deputy Managing Director, Deep Water, Total Upstream Companies in Nigeria, Mr. Ahmadu-Kida Musa, at the Nigeria Oil & Gas Conference & Exhibition (NOG) 2018, held at ICC, Abuja, July 2, 2018.
The theme of this
seminar,  “Nigerian Content: The Next Frontier” is relevant for understanding the need to drive the Nigerian oil and gas industry towards sustainable development and growth. It is also an opportunity to discuss important issues the industry may be grappling with as it tries to assume a more local approach in its activities.
I am, therefore, rather delighted to speak about the modest Nigerian Content efforts at Total and what is seen as the next frontier for the industry in terms of in-country activities. You must, however, forgive me, if you find that, in the course of my speech, I keep returning to my current favourite subject, namely, the Egina Project.
Egina Project was sanctioned in 2013, three years after the Nigerian Oil and Gas Industry Content Development Act was signed into law, but It is important to look back at where the sector was to enable us appreciate achievements recorded.
And today’s achievements will be the second part. I will look at the Industry’s post-NOGICD response and what progress was made in advancing Nigerian Content.
The last part will focus on the next frontier for the industry in this area and, with that, we shall wrap up this conversation on a subject I find very interesting.
PRE-NOGICD ACT 2010
Until a few decades ago, the key players in almost all the key sectors of Nigeria’s oil and gas industry were the international oil companies. From exploration to production, refining and trading, the main actors were foreign multinationals.
Oil blocks and assets were owned by foreign oil majors and oil service contracts for engineering, drilling, wireline logging services, supply of safety equipment, construction & fabrication, etc. were largely awarded to foreign owned companies. All these companies were, of course, managed by foreign personnel especially for technical positions. Many project teams were based abroad and only a few Nigerians were lucky enough to be trained abroad or to work abroad, to acquire the relevant technical knowledge and experience necessary to take up key positions in Nigeria.
But by the 1990s, Nigeria joined other emerging economies who sought to take ownership and control of their natural resources for exploitation and transformation into economic development.
To achieve this, some of these emerging economies began to formulate policies and legislation that would compel economic actors to adopt policies that promoted local over foreign.
In 2005, Nigeria took what many analysts consider the most significant step towards Nigerian Content by introducing what was known as the Local Content Policy. As you well know, the main thrust of this Local Content Policy was to promote a framework for which local competencies in the oil and gas sector will be developed through the active involvement of Nigerians using local resources.
The intention of the government, at the time, was to use the local content Policy as a means of discouraging capital flight in the oil and gas industry.
At that time, the Nigerian Government’s Local Content Policy implementation was administered by guidelines issued by the regulatory agencies such as the Department of Petroleum Resources (DPR) and the Nigerian Content Division of the Nigerian National Petroleum Corporation (NNPC).
With this, the industry started to take some steps to embrace Nigerian Content. Some partnered with local contractors on low-risk projects because of concerns about quality and the availability of local capacity. Others embarked on some capacity building efforts, setting up training schools or supporting the upgrade of local yards to manage certain workscopes. Indeed, it has been said that before the Nigerian Oil and Gas Industry Content Development Act came into effect, many industry players approached Nigerian Content as a matter of Corporate Social Responsibility.
Nigerian content was carried out at the discretion of the individual company and often dependent on availability of funding and previous experience with local contractors and partners. Nigerian Content was not really seen as an obligation by many operators. It was often something that was done as an expression of goodwill.
However, there were of course some companies that realised that developing local competencies was a key to sustainability in the future.
It was during this pre-NOGICD period that Total decided to invest in the establishment of a world class petroleum training institution right here in Nigeria; showing its commitment to capacity building and the development of Nigerian Content.
The Institute of Petroleum Studies (IPS), Port Harcourt, was established in a unique tripartite collaboration with the University of Port Harcourt, Nigeria, the French Petroleum Institute, IFP, France and the NNPC/Total E&P Joint Venture.
The institute has consistently produced highly skilled manpower equipped with both the intellectual and technical competencies required in the oil and gas industry. Since its establishment in 2003, IPS has produced over 400 Master of Science graduates and about the same number of Engineering Diploma degree holders; many of whom have filled key positions in various oil and gas companies in Nigeria!
On Total’s projects, Nigerian Content was already a major component before the NOGICD ACT. The Akpo Project, which was sanctioned in 2005 recorded a cumulative Nigerian Content performance of 44%. In 2008, the FID was taken on the Usan Project and by the time the project was completed, the Nigerian Content record had climbed up to 60%.
The point here is that even before Nigerian Content became a matter of law, some in the industry were already on board
POST-NOGICD ACT 2010
On April 22, 2010, the way the business of oil and gas was done in Nigeria changed. That was the day the Nigerian Oil & Gas Industry Content Development Act was signed into law. And the industry, which had already started to embrace the objectives and ideals of Nigerian Content, needed to double its efforts.
The NOGICD Act ushered in an era where in-country value became the focus. With the government now leading the charge with legislation and efficient monitoring through the NCBMB, things began to change more rapidly.
The underlying philosophy and objectives of Nigerian Content today include a focus on:
In-country competency development,  technology development ,   job creation, revenue retention, research and developmentas well as  industrialisation.
The relationship between the Nigerian Content Monitoring & Development Board (NCDMB) and the Industry is that of partners who understand that their goal is the same: local capacity means more robust bottom lines for the Industry and more value for the country as a whole.
In this context, more Nigerian owned engineering firms as well as construction and fabrication yards became more visible as important players in the industry. Many of them became strengthened to participate in FEED and eventually improved capacity fabrication yards began to compete for major development projects.
I must add though that a lot of oil and gas Companies were sceptical of the final destination of this new found impetus by Nigeria on local content.

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Global Energy Crisis Is Reviving Green Hydrogen

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The global energy crisis has reshaped global energy priorities seemingly overnight. The Strait of Hormuz has been closed to virtually all commercial traffic for well over a month now, severely restricting global flows of oil and gas. As a result, global energy prices have skyrocketed, and supplies have tightened, pushing many countries to explore alternative energy pathways in a big hurry. This has led to an unfortunate resurgence of coal-fired power, especially in Asia – but it is also set to supercharge the clean energy industry on a global scale. And one of the unlikely benefactors of this groundswell of new investment may be the green hydrogen industry.
China, the world’s top hydrogen producer, is planning to ramp up production of hydrogen, and especially green hydrogen, more quickly than previously planned in order to shore up its energy security as import-dependent Asian markets are rocked by skyrocketing oil and gas prices. China’s National Energy Administration (NEA) has referred to hydrogen as a “strategic lever” for national energy autonomy and resilience, and has pledged to accelerate the development of the domestic sector accordingly.
China’s 15th five-year plan, released last month, flagged hydrogen as a “future industry.” But, apparently, the future is now. According to a recent report from the South China Morning Post, the rhetoric around hydrogen coming out of China signals a shift away from research and toward rapid practical development of the sector.
Last year, the NEA earmarked 41 projects in nine regions across the country to lead hydrogen pilot projects all along the value chain “from production and transport to storage and application.” Now, leadership is pushing to bring those projects out of demo phases and into industrial applications as quickly as possible.
European leaders, too, are pivoting to embrace green hydrogen production with renewed enthusiasm. Earlier this month, ministers from Austria, Germany, the Netherlands, Poland, and Spain petitioned the European Union to loosen production regulations to encourage investment into the sector. And Italy successfully approved a €6 billion state aid plan to support renewable hydrogen.
Even the United States is getting on board. This week, the Trump administration instructed the Department of Energy to save $5 billion worth of hydrogen hubs that were slated for closure. The hydrogen projects – though not green hydrogen ventures – were funded under the Biden administration in order to promote cleaner-burning fuel sources.
Hydrogen could potentially be a critical pathway for decarbonization, as it combusts at high heat like fossil fuels. But, unlike fossil fuels, when it burns, it leaves behind nothing but water vapor. This could make it indispensable for the decarbonization of hard-to-abate sectors like steelmaking and shipping. However, the vast majority of commercial hydrogen is made with fossil fuels. Green hydrogen, by comparison, is made using renewable energies.
But while hydrogen, and especially green hydrogen, could be a key part of the global clean energy transition, research and development in the sector had been cooling for years, as commercial and cost-effective green hydrogen production methods largely failed to materialize. “Even if production costs decrease in line with predictions, storage and distribution costs will prevent hydrogen from being cost-competitive in many sectors,” Roxana Shafiee, a postdoctoral fellow at the Harvard University Center for the Environment, told The Harvard Gazette in 2024. Shafiee led a study that found cause to believe “that the opportunities for hydrogen may be narrower than previously thought.”
But the economics of energy are changing as we speak, and the global hydrogen market is likely about to see a windfall as the world rushes to replace geopolitically risky fossil fuels, which have become prohibitively expensive overnight. Clearly, global leaders are already reembracing the fledgling sector as part of an all-of-the-above approach to energy security and independence. While hydrogen may not be a silver bullet solution, it could be a critical part of a more diverse and therefore more resilient global energy landscape going forward.
By Haley Zaremba
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PETAN Tasks Indigenous Oil Firms On Investments Attraction    … Global Engagement Sustenance

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The Petroleum Technology Association of Nigeria (PETAN) has urged indigenous oil and gas companies to deepen global engagement and attract investment.
The Association urged intending participants to leverage the forthcoming 2026 Offshore Technology Conference (OTC) in the U.S. to expand their access to new technologies and partnerships.
PETAN said its participation at the global event would be driven by a deliberate strategy to position Nigerian firms as competitive players within the international energy value chain.
In a statement issued  by the Association’s Publicity Secretary, Dr Joan Faluyi, In Lagos, at the weekend,  PETAN would anchor its activities at the Nigerian Pavilion, with the theme: “Africa’s Energy Transformation: Scaling Investment, Technology, and Local Capacity for Sustainable Growth”.
Faluyi noted that the conference, scheduled for May 4 to May 7 in Houston, Texas, remained a leading platform for offshore energy dialogue, partnerships and innovation.
According to her, PETAN’s participation goes beyond routine attendance and reflects a focused effort to strengthen Nigeria’s visibility and influence in global energy discussions.
“At OTC 2026, PETAN is returning with stronger alignment and a clearer objective, to ensure Nigerian companies are not just present, but actively engaged and recognised as credible global partners,” she said.
Faluyi explained that the association had consistently showcased the capabilities of indigenous oil and gas service providers at previous editions of the conference, reinforcing their capacity to compete internationally.
She added that the Nigerian Pavilion would serve as a strategic hub for investment discussions, technical exhibitions and direct engagement with global stakeholders.
The association is also scheduled to participate in key engagements, including the African Energy Forum, the NCDMB–OEM Investment Forum and the PETAN Golf Tournament slated for May 7 at Quail Valley Golf Course, Texas.
Faluyi described OTC as a critical gateway for Nigerian companies seeking international opportunities, noting that visibility and engagement at the event often translate into commercial partnerships.
“In an increasingly competitive energy landscape, securing a seat at the global table is essential. Through sustained participation, PETAN continues to assert Nigeria’s place in that conversation,” she said.
Also speaking, PETAN Chairman, Mr Wole Ogunsanya, said the Association’s focus was to ensure that indigenous capacity is fully integrated into global energy decision-making processes.
“We have seen firsthand how global energy decisions are shaped at OTC. This year, we are returning to ensure indigenous Nigerian capacity is not just present but recognised, engaged and heard.
“We are taking our businesses to the table where real partnerships are formed,” he said.
Faluyi added that under Ogunsanya’s leadership, PETAN was prioritising strategic positioning to ensure Nigerian companies are not only visible but considered credible partners in major international energy projects.
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Solar Panels Imports Ban: Experts Recommend Phase -out Approach 

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Stakeholders in Nigeria’s energy sector have warned that an abrupt restriction on solar panels imports would undermine electricity access.
The experts called for a gradual phase-out of imports over several years rather than an outright ban.
Recall that the federal government had announced plans to halt solar panel imports after investing more than N200 billion to encourage domestic production.
Speaking at the Solar Power Media Training, in Abuja, last week, the Campaign Director, Secure Energy Project (SEP), Joseph Ibrahim, said stakeholders support the goal of building local manufacturing capacity but cautioned against sudden policy shifts.
“Let me be clear, we wholeheartedly support local manufacturing of solar panels”.
“We want to see factories in our states, jobs for our youth, and a supply chain that begins and ends on our soil”, he stated.
Ibrahim insisted that the most effective path forward is a carefully managed roadmap implemented over three to five years to give investors and workers time to adjust.
“If we rush this, we risk making solar power too expensive for the millions who currently rely on it for survival.
“By taking a phased approach, we allow time for investors to build their plants, for our workers to learn specialised skills, and for our economy to adjust without losing power”, he said.
The SEP director said policy stability, access to financing, and strict quality standards are essential to building a sustainable local solar manufacturing industry.
“To make local manufacturing a reality, we don’t just need new laws; we need an enabling environment. This means stability — policies that don’t change with the wind,” he said.
Also speaking, Tosin Asonibare,  said renewable energy has become a critical solution to Nigeria’s persistent electricity supply challenges.
He cited findings by the Global Initiative for Food Security and Ecosystem Preservation, indicating that many Nigerians remain unaware of the proposed import restrictions and their potential implications.
According to him, respondents in the report largely favoured a phased ban supported by incentives for importing raw materials needed for local production.
“The report also shows that infrastructure for locally manufactured panels is not fully available, so there is need for foreign direct investment improvement in government policy.
“So that the local manufacturers and assembling companies can have higher capacity to meet demand. If that is not done, the price of solar panels will go up”, he said.
He warned that affordability could become a major concern for consumers if restrictions are implemented without adequate preparation.
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