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Price volatility threatening local content in Nigeria – NNPC

Price volatility threatening local content in Nigeria - NNPC

The Group Managing Director of the Nigerian National Petroleum Corporation, NNPC, Mallam Mele Kyari has expressed concern that the persistent volatility in the price of crude oil is putting immense pressure on the local content initiative of the Federal Government.

He made the remarks while Speaking in Bayelsa, at the ongoing 9th Practical Nigerian Content stressing that with this reality, it had become expedient, for the Federal Government and stakeholders to raise the bar of the Nigerian content policy.

Represented by the Faruk Sa’id, NNPC COO, Corporate Services, Kyari said, “The Nigerian Content policy has indeed been a catalyst for the nation’s industrialization. There is, however, no doubt that the resilience of local content policy is being tested under the present volatility in oil prices experienced in the global oil and gas market. Now is, therefore, the time to raise the bar of the Nigerian content policy.”

He said the NNPC has been at the heart of the local content story in Nigeria,’’ in our determination to maximize the participation of Nigerians in our projects and domicile project activities in-country. Also, NNPC has been implementing the Nigeria content policy as enshrined in the Nigerian oil and gas industry content development (NOGCD) Act since before the enactment of the act in 2010.

He noted that as early as 2005, despite almost 50 years of a vibrant national oil industry experience, NNPC was concerned at the low level of Nigerian content in our country and thus called for a fresh approach to domesticating oil and gas industry spends through the establishment of the Nigerian content division(NCD) with the aim of identifying and guiding the implementation of key national content initiative including promoting local manufacturing of steel, pitches and piles and developing engineering design expertise in Nigerian engineers.

‘’We have made tremendous progress in further stimulating the participation of indigenous companies in the oil and gas industry through utilization of Nigerian resources, that is goods, services and assets in oil and gas projects and operations amongst others. He stated

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