MicCom Cable makes case for Bonga SW, Bosi, Nsiko, others ...enumerates multiplier effect By Jerome Onoja

Bukola Adubi, COO MicCom.

The chief operating officer (COO) of MicCom Cables, Bukola Adubi recently advocated for the relevant government agencies to enter into robust conversations with the promoters of deepwater projects like Bonga South West, Bosi, Nsiko, Owowo West, Zabazaba, and Etan, among others in order to see them come to fruition.

She made this known during a chat with Majorwaves Energy Report at her Ojokoro facility in Lagos. an equivalent of US$35 billion. Do the comparison. Ten percent of the national budget in a single project!

“Now, we have the potential of attracting US$58 billion in investment comprising projects which have not been sanctioned by Shell, ExxonMobil, Agip and Chevron.

“You’ll want to ask, what exactly is standing in the way of pulling in two times the value of our laudable 2020 budget?

Against the backdrop of NLNG Train 7 FID announcement, Adubi decried the general delay in project approvals, listing countries which had surpassed Nigeria in development of gas projects and gas infrastructures. She emphasized that Nigeria used to be the third largest exporter of gas globally but now trails behind at a distant thirteenth.

Today, countries like Algeria, Malaysia, and the United States are way ahead of Nigeria in their volumes of gas exports, revenue, and by extension - standard of living.

Alluding to the pending deepwater projects, she said “These are multibillion dollar projects with countless benefits to the nation’s economy through a heavily positive impact on several linkage sectors.

“A single FPSO like that of Egina was valued at US$3 billion. What’s the size of Nigeria’s 2020 budget? That’s

“These projects would also spur rapid developments of capacity for indigenous companies in the country. With new value retention, these indigenous players can export the created capacity to neighbouring African countries and the chain of benefits never ends. Foreign exchange guaranteed too.

“In the words of our amiable local content czar, Engr Simbi Wabote: ‘there is no local content when there are no projects!’

“While we celebrate the breakthrough with NLNG Train 7, it would only be smart for us to be proactive and not rest on our oars. The excitement and frenzy will settle soon.

“Let’s ask the right questions. What delayed Train 7 until 13 years after Train 6 was commissioned? Where’s Brass LNG, OKLNG?

in order to chart the way forward, and make our business environment more competitive. Besides, it helps improves our ease of doing business index.

“Self-examination by government agencies and ministries in charge would help forestall future delays in project.

“With continuous review, we can easily spot the issues with Bonga SW and other big projects. Correct the flaws and move to closure. We can bend backwards, relax some of our terms on a project-by-project basis, just to accommodate these huge capital inflows. Only then can these investors commit to long term capital investment decisions like FIDs”.

She regretted the opportunity the country missed in not having the right, competitive fiscals and policies in place much earlier on. Noting that investments aren’t stationary, and are always gravitating towards the environment with the most favourable conditions, Adubi wondered why PIB has taken 17 years and it’s yet to become an Act.

“Today there’s some level of hope that the PIGB will be passed before the end of June, this year. At least, the Honourable Minister of State has made that promise and we can only hope it materializes. That should send the right signal across the investing community and elicit the commensurate feedback we’ve been waiting for regarding stalled projects,” she averred.