Award of NLNG Train 7 to SCD Will Deepen Local Participation, Reinforce Local Cable Supplies – Adubi, Miccom Cables

Bukola Adubi

Award of NLNG Train 7 to SCD Will Deepen Local Participation, Reinforce Local Cable Supplies – Adubi, Miccom Cables

As the Nigerian petroleum industry expects Total E&P to reach a Final I n v e s t m e n t D e c i s i o n (F I D) o n t h e $10 b n N L NG Train 7 project by the end of 2019, exper ts have expre s sed optimism that the award of the con struction contract to SCD Group will deepen local content contribution to the project.

T h e S C D J V c o n s o r t i u m comprising the Italian company, S a i p e m , J a p a n ’ s C h i y o d a Corporation and South Korea’s Daewoo, would under take the e n g i n e e r i n g , p r o c u r e m e n t , a n d c o n s t r u c t i o n o f t h e proje c t . Taki ng a cue f rom the verifiable in-country value r e t e n t i o n e v i d e n c e d i n t h e Egina projec t, now enhanced by the service level agreement (SLA) signed by the company w i t h t h e Ni g e r i a n C o n t e n t D evelopment a nd Moni tori ng Board, NCDMB, it is believed that the train 7 project will surpass industry expectations in terms of local participation, said Bukola Adu bi , the Ma na gi ng Director of Miccom Cables on the sidelines of Power Nigeria conference which held in Lagos

recently. She added, “service and manufacturing companie s have inve s ted re sou rce s , a nd g rown technical capacitie s in preparation for these projects.

track, the industry’s maintenance work s needing low, medium or even high voltage cables can be handled by indigenou s fi rm s , Adubi a s ser ted.

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We shall see a multiplier ef f e c t a c r o s s s e v e r a l sectors when the project is completed in 2023”.

But ahead of that, indigenous manufacturers of cables like us have stepped up to the challenge to en su re the ca ble need s of projects like these are met by local supplies.”

I t i s e s ti m a te d t h a t , a t i t s peak, the project will provide over 4 0 ,0 0 0 di re c t job s a nd ov e r 1 0 0 , 0 0 0 i n d i r e c t a n d i n du c e d employ men t of ove r 100,000 workers Commending the NCDMB and the NOGICD Ac t, Adu bi noted that, every op e ra to r, a s a re sul t of t he Board’s sensitisation, has gotten t h e b a si c k n owl e d g e of i t s obligations to Nigerian content development. She stated that, “ the robu s t ac tivitie s of the NCDMB ensures that all players are conscious of the provisions of the Act”. Though difficult to

“C o l l e c t i v e l y , a s m e m b e r s of C A M A N (C a bl e M a nufa c t u r e r s A s sociation of Nigeria), there’s hardly any cable need we can’t fulfil, I don’t see why some companies will still import cables”, she quipped.

P rov i di n g a n up da te on t he t r a i n 7 p r oj e c t d u r i n g t h e Total’s I nve s tor Day i n New York recently, Arnaud Breuillac, Total’s President of Exploration a n d P r o d u c t i o n , s a i d t h e c o n s t r u c t i o n a t t h e B o n n y I sland plant would increa se its capacity, adding seven million tons per year (tpy) of gas to the existing 22 million tpy. NLNG is a joint venture company owned by Nigerian National Petroleum Corporation (49 percent), Shell (2 5 . 6 p e r c e n t), To t a l (15 percent) and Eni (10.4 percent).