Covering Local Content * Oil & Gas N300 3Ghc US $2
1.5
Vol. 2 No. 12
Dec, 2013
Excellence In Local Content
Awards,
2013 NCD Manufacturer Of The Year
NCD Investor of the Year
Excellence in Local Content Performance, Ghana
NCD Most Transformed Company of the Year Most Outstanding IOC With Excellent Performance In Nigerian Content Development
NCDMB Wins 'Nigerian Risk Award’
ISSN:
EDITOR’S Note
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013 has no doubt been an adventurous year indeed for movers and shakers in oil and gas industry. Both great and small, everyone has had their fair of the good, the bad and ugly side of the year; and now as the year comes to a close, it is time for some stock taking, planning and restrategizing. But despite all the odds and hassle, one thing is certain, every one looks forward to better and brighter 2014; one filled with new opportunities and prospects. For us in Orient Enervy Review, while taking stock of happenings in the energy sector, we have rolled out our bag of laurels to give to deserving companies who have thrived in their local content performances. Companies like Luda Nigeria, Dorman Long Engineering, Oando Energy Services, Shell Nigeria and Tullow in Ghana. Watch out for our awards ceremony next year, when we shall be rewarding more local content champions. So work towards and who knows, you might be our next Local Content champion. Please read along and lets have your feed back. We'd love to hear from you always. Enjoy!
Margaret Nongo-Okojokwu Editor, +234-8136329948
CONTENTS INDUSTRY NEWS
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LOCAL CONTENT
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COVER
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PICTURE GALLERY
20-21
ENERGY FINANCE
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IN THE SPOTLIGHT
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INTERVIEW
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Margaret@nigerianorientnews.com
And so from all of us at Orient Energy Review, we would like to wish you all a Merry Chriatmas and a very prosperous New Year!!! PUBLISHER: Nneka Ezeemo EDITOR: Margaret Nongo-Okojokwu PRODUCTION: Chukwudi Ohiri CORRESPONDENTS: Anthony Ita Etim (P/Harcourt) Mwuese Onoja (Lagos) Gilbert Boyefio (Ghana) GRAPHIC ARTISTS: Etimskill CIRCULATION MANAGER: Ajayi Kayode MARKETERS: Chidiebere Ezeoke Ejiro Praise Adjarho Business Development Manager: Eyo Ita Business Development Executives: Amie Anerobi Eyo Ita Eyo
LONDON OFFICE: Charity Place, Unit 1 Thurrock Park Way Thurrock Park Ind. Estate Tilbury, Essex Rm 18 7Hz. +447974199137 ORIENT ENERGY REVIEW is Nigerian OrientNews Magazine monthly review of the Energy Sector in Nigeria and across Africa. It is published by Orient Magazine, Newspaper and Communications Limited 5, Dipo Dina Drive, Abule Oshun, Badagry Express Way - Lagos www.nigerianorientnews.com email: info@nigerianorientnews.com
Correspondents: Pita Ochai (Lagos)
HOTLINES: 08109266167, 08091373788, 08129532355
INDUSTRY NEWS
Nigeria oil and gas facility
Marginal Fields: DPR Wants Investors To Develop In Two Years Or Forfeit
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he Department of Petroleum Resources (DPR) has warned Nigerian companies bidding to acquire marginaal fields in the ongoing bid rounds that those who cannot develop them within two years run the risk of forfeiting the fields. DPR Director, George Osahon who gave the warning in Abuja, during a road show for the 31 marginal fields, said the DPR
will no longer tolerate what transpired in the 2003 where field winners were still unable to develop the fields 10 year after the process. He said, "any company that is bidding this time around you cannot have any promoter that has more than 25 percent shares in the company, also among the promoting team, shareholders, you must have at least one of them being somebody who is an experienced up stream that is exploration and production components. “I must say that access to financing is critical in the bid process; I have not said
the stack of cash in your account and my accountant said line of sight to the funding. In which case they must be able to see from the information you provide your access to finance. “One of the issues we have had so far is that people get fields, 10 years after they get the field they have not done a thing. If you recall marginal field by definition means a field that has been discovered by major IOCs and 10 years thereafter they have not developed those fields. We take those fields from IOCs give them to Nigerian companies and another 10 year down the road those fields have not been developed and then you ask yourself what is the difference. “We do not want to give these assets out and wait for another 10 years for them to be developed, therefore we have indicated again as one of the conditions, if you get a field within two years of getting the field you should have done something. If have not the powers that be will take the field from you.” He explained that the marginal field bid round was specifically designed for Nigerian companies whose 51 percent equity shares must be owned by Nigerians. He noted that the round was not just meant to grow production but to also increase the capacity of Nigerian firm to operate in the petroleum industry both locally and internationally. Speaking earlier, Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke assured that unlike the last bid round whose process lasted for four years, this round would be concluded in five months. The minister who was represented by the permanent secretary in the ministry, Danladi Kifasi, urged local firms to form partnerships to increase their chances of winning the fields.
Vallourec expands subsea scope for CLOV Vallourec is also offshore Angola supplying around
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allourec is to provide a range of connection devices for Total's CLOV deepwater oil and gas development offshore Angola. CLOV comprises the oil and gas fields Cravo, Lirio, Orquidea, and Violeta in block 17, in water depths ranging from 1,100-1,400 m (3,609-4,593 ft). Production is due to start in 2Q 2014. Vallourec will equip the 34 subsea wells with around 15,000 tons of OCTG
products featuring VAM premium connections. Two of the rigs drilling CLOV's development wells are also using Vallourec drillstrings and connections. The subsea wells will be tied back to the new CLOV FPSO, which arrived at the Paenal Yard in Porto Amboim, Angola, last week. To secure transportation of hydrocarbons to the FPSO, Vallourec has delivered 28,500 tons of coated seamless line pipe and bends to installation contractor Subsea 7. The company supplied an additional 2,400 tons of seamless pipe for construction of the riser towers.
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150 km (93 mi) of anticorrosion coating on the pipes and roughly 700 hot induction bends. The production flowlines, which include a pipe-in-pipe solution, will be assembled in Angola. Serimax, Vallourec's welding specialist, operated its Saturnax 09 welding equipment during seven months onboard Subsea 7's pipelay vessel Seven Borealis. It delivered around 5,500 welds on pipes, including corrosion- and fatigue-sensitive sections.
Orient Energy Review Dec. 2013
LOCAL CONTENT
East Africa: Ethiopia Set to Develop Local Content Capacity in Oil and Gas By Nneka Ezeemo
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ith the growth of the oil and gas industry in Ethiopia and other countries in the East Africa region, the Ethiopian government has unveiled plans that will see the country effectively develop its local content capacity. Speaking during the recently held EAOG East Africa Oil and Gas summit, held between
October 8 and 10, 2013, in Royal Garden Hotel, London, United Kingdom, Ketsela Tadesse, the Ethiopian Minister of mines, said to achieve a high percentage of local contents in the oil and gas industry, the country will need a thorough analysis of the local content requirements; start early in the project life cycle of the oil and gas to enable them know how and when to intervene; take a long-term perspective of the entire mining industries; and effectively manage information flows and transparency
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within the industry. The 3-day summit was organized by CWC in collaboration with East Africa working Group. Ethiopia and other countries in the East African region are inspired by the success of local content initiatives in countries like Nigeria, Venezuela, and Norway, these three countries have all gone to advanced stages in developing their local content policies. Local content is the development of local skills, technology transfer, and use of local
Orient Energy Review Dec. 2013
LOCAL CONTENT
manpower and local manufacturing. This enables the optimal use of in country human resource, materials and services. The aim is towards maximization of the national value creation by means of the oil and gas value chain through employment, value-addition, technology transfer and the acquisition of knowledge. Tadesse said that the country needs to take a holistic look at the human resources development plan for the oil and gas industry, not only identifying the challenges, but improving on the education level of the employees. There will also be the need to access the number of vacancies that the mining operation has been unable to fill for more than 12 months despite concerted efforts to recruit suitable candidates. “Companies must submit a report on the implementation of a career progression plan, a mentorship plan and an internship and scholarship plan in line with the skills development plan and the needs for the specified groups of workers to enable the supervising authority take decisions on steps to take,� he said. Adding that, a successive local content development
requires the rule of law, skilled workforce, and investment-friendly atmosphere. To Tadesse, citizens of resources rich countries are increasingly pressing hard to know how their natural resources are directly benefiting the public at large. This increase in demand is connected with the fact that there is an increasing awareness among citizens of countries that they are co-owners of the natural resource found in their states, the same citizens are also aware that licensing and exploration activities are on the increased in their home countries. He said that the only way a government can ensure that the citizens have full benefits of the countries natural resources is when local content is involved in the exploitation, exploration, and processing of its natural resources. The Ethiopian government in preparing ground for the development of local content capacity in its entire mining sector has reposition the sector to effectively collaborate with all stakeholders for effective operation, it is also in the process of designing enabling laws to serve that initiative. Furthermore, the government has also stated its vision for the next 15 to 20 years for the mineral sector where it hope to establish a diverse, world-class, competitive and environmentally sound private sector led mining industry. The government has promised that the implementation of the vision will be base on transparent free market principles. The target of the vision is to ensure that the mining sector contributes not less than 10 percent of the GDP thereby enhancing the socio-economic development and eradication of poverty in Ethiopia. Having considered the progresses made in other countries
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Local content is the development of local skills, technology transfer, and use of local manpower and local manufacturing. This enables the optimal use of in country human resource, materials and services. The aim is towards maximization of the national value creation by means of the oil and gas value chain through employment, valueaddition, technology transfer and the acquisition of knowledge.
that have developed its local content to an enviable height, the government of Ethiopia said that its local content initiative would be community based. The community, civil society will be empowered to work with companies operating in the mining sector to create transparency in decision making, ensure free, prior and informed consultation, manage grievance effectively, and focus on short, medium and long term-from exploration to closure and post closure/rehabilitation. The government will also get clear guidance for early community engagement during the exploration phase, build EITI Process to engage CSOs and other organizations, and integrate activities between EPA, the Road Agency, the Ministry of Mines and the Ministry of Agriculture and Rural Development.
Orient Energy Review Dec. 2013
LOCAL CONTENT
NCDMB Counts Gains of Local Content Policy, Three Years After By Pita Ochai, Margaret Nongo-Okojokwu Engr Ernest Nwapa Inspecting a pipeline facility.
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bout four years after the Nigerian Content Act was introduced, the Nigerian Content Development and Monitoring Board, NCDMB, is counting the gains of the policy. Ernest Nwapa, executive secretary, NCDMB, said that the implementation of the Nigerian Content Act by the federal government has attracted $5billion worth of investments into the economy and created about 38,000 jobs, since 2009. The gains of the local content policy was made known by Nwapa during the CWC organized Nigeria Oil and Gas Trade and Investment Forum. The forum was held between October 24 and 25, 2013, in Onne Oil and Gas Free Zone, Nigeria. According to him,
the implementation of the Act succeeded because of the strong support of President Goodluck Jonathan and the leadership provided by Diezani Alison-Madueke, the Minister of Petroleum Resources. He said that the implementation of the Act had ensured that most industry services were being executed incountry and not taken abroad as was the case in the first 50 years of oil exploration and production in Nigeria which has created thousands of jobs for Nigerians. He cited the heightened interest of investors in establishing pipe mills in Nigeria, local ownership and operatorship of high technology vessels and rigs and the expanding investment by indigenous service companies as evidence that the Nigerian Content Act has changed the industry operating environment. According to him, the increasing ownership of rigs and vessels by Nigerians made it imperative for the establishment and upgrade of existing dockyards in the country to service marine vessels working in the industry to ensure the retention of spend
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otherwise taken out of the country for such services. Seriake Dickson, the governor of Bayelsa state, called for sub-Nigerian Content which would extend the benefits of Nigerian Content implementation to local communities. He said that it was important for indigenes from oil producing communities to have access to opportunities provided by oil and gas exploration in their localities to ensure the sustainable operation of the industry. He decried the low participation of people from oil producing areas in the oil and gas industry, adding that the state was taking several measures to ensure that its citizens become major players in every sphere of the sector. He further canvassed the patronage of locally manufactured goods, which might cost slightly more than imported substitutes, but the extra costs will go a long way in galvanising the nation's Gross Domestic Product and benefiting the economy. Mark Ward, the Chairman of Oil Producers Trade Section, OPTS,
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and Managing Director of ExxonMobil Nigeria, lauded the landmark achievements recorded by the NCDMB in implementation of the Nigerian Content Act. He listed some of the achievements of OPTS members in furtherance of the Nigerian Content to include collaborating with Nigerian banks to provide over $10 billion in financing support to Nigerian service companies at reduced
interest rates, relaxed collateral requirement and reduced loan processing time. Ward pledged the commitment of his company and other international companies who make up the OPTS to support the initiatives of NCDMB towards developing capacity in the industry. Omobola Johnson, the minister of Communications Technology, stated that the Ministry had developed a Local Content Policy as it relates to Information and Communication technologies and called for inter-agency collaboration as a way of extending local content to other key growth industries in the Nigerian economy.
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The implementation of the Act had ensured that most industry services were being executed in-country and not taken abroad as was the case in the first 50 years of oil exploration and production in Nigeria which has created thousands of jobs for Nigerians.
Orient Energy Review Dec. 2013
OER's
LOCAL CONTENT
CHAMPION
AWARDS
2013
NCD Manufacturer Of The Year LUDA Nigeria. Ltd
Excellence in Local Content Performance, Ghana Tullow Ghana Ltd.
NCD Investor of the Year Oando Energy Services Ltd.
NCD Most Transformed Company 2013
Most Outstanding IOC With Excellent Performance In Nigerian Content Development
Shell Petroleum Development Company of Nigeria Ltd
DORMAN LONG Engineering Ltd
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Orient Energy Review Dec. 2013
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NCD Manufacturer Of The Year LUDA Nigeria. Ltd
Luda Workshops overiew
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uda Nigeria Limited a 100% proudly Nigerian company incorporated in 2009 by Compact Manifold and Energy Services Limited, specicalized in providing engineering, fabrication and construction services to (Offshore/Onshore) the oil gas industry in Nigeria. In our quest to acquire the relevant technology to meet the local content needs of the oil & gas industry, CMES partnered
with LUDA China as technical partners in actualizing these objectives. Luda Nigeria is able to leverage the vast global experience of Luda Development Limited to deliver world class products and services to Nigeria and the West African Oil and Gas Industry. In line with the CMES Group's philosophy for sincerity in business professionalism and best practices, Luda Nigeria Limited applies “excellent quality, best services, competitive price� to our clients. LUDA Nigeria Limited builds on the enviable 3o years track record of Luda Development Limited, one of the largest exporters of pipeline products in
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Orient Energy Review Dec. 2013
Slip- on Flange
Welding Neck Flange
Thread Flange
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South-East Asia. Luda Nigeria Limited was formed out of collaboration between CMES and its technical partner Luda Development Limited China, in line with the federal Government of Nigeria's local content policy. As a result, CMES incorporated LUDA Nigeria as a local company to manufacture flanges, fittings and the assembly of valves locally. Building on the over 30 years of experience and track record of Luda Development Limited and being one of the largest exporters of
flanges and fittings to Europe and the rest of the world from China, CMES established Luda Nigeria as part of its group in Benin city to manufacture flanges and fittings. The Company's decision to manufacture flanges and fittings is a value added initiative beyond just providing goods and services. This award is given based on the giant strides taken by Luda Nigeria Ltd., to manufacture Flanges and Fittings in country, from scratch to finish; another proof of the numerous benefits of the Local Content Act in Nigeria. Congratulations!
Tee Carbon steel
NCD Investor of the Year
Oando Energy Services Ltd. Oando Energy Services Limited (OESL) is a leading provider of energy services to exploration and production companies in Nigeria. Since 2004, OESL has successfully positioned itself as a preferred indigenous service provider by investing over USD$450m in the acquisition of swamp rigs, pioneering the
return to the swamps following return of peace after the signing of the amnesty deal, with the aim of being Nigeria's largest indigenous oilfield services firm and encouraged by the renewed local content drive in Nigeria. Following the signing of the Act into
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law in April 2010, to stimulate the growth of Nigerian companies through the systematic development of capacities and capabilities; deliberate utilization of Nigerian human, material resources and Services, OES embarked on an aggressive drive to become the foremost indigenous drilling contractor in Nigeria. The following are some of the success stories: People OESL Ranked 2 in the 2011 Great Place to Work Survey (in terms of management practices & culture) with over 250 years of international and local experience within the management team. OESL Staff strength has increased from 298 to 416 in the past five years of which 96% are Nigerians. The company's Drill Bits and Drilling Fluids staff are all Nigerians. Where a position is occupied by an expatriate, a Nigerian is appointed to understudy him as the plan is to consistently replace the expatriates with capable Nigerians while other expatriates are retained to provide technical support for their operations. Training OESL Identifies and engages OGTAN approved trainers and implementation of classroom & OJT training for all technical & nontechnical position, creating a pool of engineering talent for the industry
through their various programmes such use (import duty paid) and are at as: various stages of being deployed to ! Rig Track (for graduate work for major oil companies trainees) - a 36month intensive operating in country. The first two rotational program. 16 recruits to rigs were contracted to Nigerian Agip graduate in 2015 Oil Company (NAOC) in 2009 in a ! Fast Track (for mid-career deal worth approximately hires) - also a 36month intensive US$225million while a third rig rotational program. 2 recruits in named OES Passion commenced a programme 2-year contract (with the possibility of a one year extension) potentially worth US$105million with The Shell Investment Petroleum Development Company The company has so far spent the sum Limited (SPDC) in May 2012. The of US$80m on in-country refurbishment of rigs with funds sourced strategic decision to decommission one of the five (5) assets in the fleet from local financial institutions. About (OES Professionalism) has reduced 95% of the company's services is OESL's rig count to 4, nevertheless; provided by indigenous companies, the company remains the largest with the engagement of over 1,118 swamp drilling contractor in country. local vendors in the last 2 years. Since its inception, OESL has invested over US$480 million in the Procurement acquisition, refurbishment and upgrade OESL has a clean NCD record as it of swamp rigs. In 2007 OESL engages in 100% local sourcing of commenced its drilling rigs business by Barite, Bentonite, Calcium acquiring two swamp rigs namely; OES Carbonate and Sodium Chloride. Teamwork and OES Respect. Since This award is riding on back then, the company has acquired an of the company's enormous additional 3 swamp rigs and drilling investment in the Nigerian Oil and equipment to be utilized in the Niger Gas Industry, with the investment of Delta swamps. over $450m in the acquisition of five These 5 rigs which are wholly oil drilling rigs for use in the Niger owned by Oando Energy Services Delta. Limited have been converted to home Congratulations!
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Orient Energy Review Dec. 2013
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Late President John Evans Atta Mills celebrating Jubilee First Oil with government and other local dignitaries on board the FPSO
Excellence in Local Content Performance, Ghana Tullow Ghana Ltd.
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ullow Oil plc, through its subsidiary, Tullow Ghana Limited, is the operator of the Jubilee field, which straddles both blocks, and lies approximately 60 kilometres off the coast of Ghana. The Jubilee field was discovered in 2007 and First Oil was celebrated on 15 December 2010 following first initial production in November. In addition to Jubilee, the Tweneboa-
Enyenra-Ntomme fields have been discovered in the Deepwater Tano licence and in May 2013 the Plan of Development for the fields was approved by the Government of Ghana. Tullow Oil Plc has interests in two exploration blocks in Ghana Deepwater Tano and West Cape Three Points On the 25 July 2011, Tullow completed the acquisition of the Ghanaian interests of EO Group Limited for $305 million, increasing Tullow's interest in the West Cape Three Points licence by 3.5% to 26.4% and in the Jubilee field, which Tullow operates, by 1.75% to 36.5%. Other partners in the Jubilee Unit Area are
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Kosmos Energy (23.49%), Anadarko Petroleum (23.49), the Ghana National Petroleum Company (13.75%) and Sabre Oil & Gas (2.81%). In October 2011 the partnership completed the first equity redetermination of the Jubilee Unit Area (JUA) and the net result is that Tullow's working interest in the JUA has reduced slightly from 36.5% to 35.5% which became effective from 1 December 2011. Tullow also has a 49.95% interest in the Deepwater Tano licence which includes the TEN discovery which, after government back-in rights, Tullow has a 47.18% interest in. In line with Tullow Oil plc, Tullow Ghana Limited conducts its business to the highest industry standards in a way that is ethical, safe and minimises impacts on the environment. Tullow has a long-term perspective to developing the oil business in Ghana in a way that is both profitable and delivers
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sustainable economic growth into the future. Tullow Oil is committed to providing Ghanaian suppliers with full and fair opportunities, providing short and longterm support to help local suppliers to achieve contract pre-qualification. To date 700 local contracts have been awarded by Tullow, including procuring 100% of IT equipment and services in Ghana. “We believe we have a major role to play in developing the required skills of the emerging oil industry in Ghana. Over 80% of our employees in Ghana are Ghanaians and we are developing plans to ensure that we achieve our goal of over 90% local national employees”, according to the Group Local Content Manager, Jim Walsh, “we want to benefit the countries where we work by investing in local suppliers, investing in local skills and by creating real opportunities within the industry. For us, Local Content is not just about meeting legislative requirements or ticking a box, we do it because we have a responsibility; it creates a positive social and economic impact and makes good business sense. For example, working with local companies can reduce our project times and costs. “Tullow Oil is committed to creating a strong external operating environment to successfully deliver its business plans and continue with its growth strategy. To do this, Tullow believes that the
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Group must contribute to social and economic development in the countries where we operate. In the Supply Chain Management department we have an integrated Local Content team who plays a key role in achieving this objective. Our mission statement encapsulates our goal: “We believe that to maintain a competitive advantage Tullow must make a real contribution to sustainable economic growth by sharing prosperity from oil and gas with host countries. We do this by involving local individuals and businesses in supporting their country's oil and gas industry and in contributing to the wider
development for our industry. So far the company has spent $145m with local suppliers in 2012; this breaks down to $69m for Ghana, $28m for Kenya and $48m for Uganda. For her outstanding contribution to the growth and development of the Ghanaian Economy and people, Orient Energy Review is proud to announce Tullow Oil Ghana Ltd as proud winners of Its Excellence in Local Content Award, Ghana. Congratulations!
economy. We are committed to developing successful local suppliers and building their capacity in order to source competitive local goods, services and skills to international standards.” Local Content will regularly review this policy to ensure that it properly serves the Group's evolving supply chain requirements and operating environments. This is to ensure that Tullow achieves its strategic objective of optimising the local content contribution to economic and social development in host countries. The goal of our Local Content strategy is to build local capacity and to develop successful suppliers who can deliver a wide range of goods, services and skills to international standards. We aim to do this by: ! Developing an industry run by nationals through training, knowledge transfer and employment. ! Supporting local businesses to enter the industry's supply chain, either directly as suppliers to Tullow or through our international supplier relations; and ! Creating a social enterprise funding and partnerships programme for education and enterprise
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Most Outstanding IOC With Excellent Performance In Nigerian Content Development Shell Petroleum Development Company of Nigeria Ltd
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PDC started its Indigenous Contracting Policy in 1998 and this has evolved into a Nigerian Content development strategy with the goal of facilitating the development of competencies, capabilities and competitiveness of Nigerian contractors. In this way, we strive to support Nigeria's industrial development in line with our commitment to Sustainable Development. Shell is the largest oil and gas company in Nigeria. It is the operator of a joint venture between the government - owned Nigerian National Petroleum Corporation (55%), Shell (30%), Elf Petroleum Nigeria Limited a subsidiary of Total (10%), and Agip (5%). The Joint Venture has the largest operational footprint in Nigeria. Shell is the oldest private sector energy company in Nigeria dating back many decades. Today, Shell companies in the country operate both on and offshore, producing
Building capacity: Shell supports local companies to thrive.
oil and gas for domestic use supplying power stations and industrial users and for export. Shell's two biggest companies The Shell Petroleum Development Company of Nigeria Ltd (SPDC) and the Shell Nigeria Exploration and Production Company Limited (SNEPCo) currently employ over 4000 people, 90% of whom are Nigerian, as is the majority of its senior executives in the country, including the MD and Chairman. According the General manager, NCD, Igo Weli, “Our approach to local content is very simple. We believe that we best serve our customers (resource owners) when we turn their resources into jobs and opportunities. As far as possible, Shell companies in Nigeria make use of local contractors, service suppliers and workforce, as a deliberate business strategy and the source of our competitive advantage. “Our Nigerian content strategy
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promotes the use of locally manufactured goods and Nigerian service companies in production operations, projects and well engineering. We try to harmonize our need for competition, quality and delivery, with the need to grow the local content of our operating areas. The starting point is to help companies that support our business to set up successfully. “Shell Nigeria's Local Content approach has evolved over the years and will continue to do so,” Says Igo, “We can identify three broad periods of development. In the early stages, Nigerian participation in the supporting supply chain of the oil industry could be described as largely an agency-styled approach, with a local representative in country which would “front” for international service providers at the primary level. Little
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Shell improving lives and supporting Nigeria's development
of the value creation was really executed by Nigerians or Nigerian companies. This was the status quo for several decades. “Through the application of the Nigerian Content law, we have now moved progressively to the domiciliation phase, where companies establish formal local presence. They still utilize a large numbers of expatriates whilst relying mostly on foreign inputs and importation of equipment and skills.� He said. According to the NCD General Manager, the end game is for actual domestication to take place. This is the stage at which there are huge numbers of locals in the workforce and components and equipment are manufactured locally. This has commenced in some work categories following some interventions and capacity development initiatives. Initial successes validate our approach and also provided lessons we will apply to future activities. Indigenous asset ownership The local ownership of assets like marine vessels rigs and others has been the focus of many of Shell's local content initiatives. For instance, Shell
Companies in Nigeria supported Lagosbased Caverton Helicopters, in its journey towards becoming a world class indigenous air logistics service provider. With technical and financial support from these Shell companies, Caverton Helicopters is now the largest operator of AW139 helicopters in Sub-Saharan Africa, both in terms of fleet size and operating spread and is a leading aviation services provider to the Nigerian oil industry, - in a sector that was historically dominated by foreign companies. Others Nigerian companies supported by Shell companies include C&I Leasing, Vigeo Shipping, Miden Services, Lonestar, Indigo, Aveon, Dormanlong to mention a few, which are all now better placed to provide assets and services for use by the oil industry. Manufacturing In addressing the challenges of developing local manufacturing capacity to serve the oil industry, Shell deployed some innovative solutions. In 2012, with approval from the Federal Government and NAPIMs, Shell Companies in Nigeria signed domestication agreements with six Original Equipment Manufacturers (OEMs) and their local partners to establish assembly/manufacturing facilities in Nigeria. Each agreement specifies target number of jobs to be
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generated with potentially huge multiplier effects. SPDC also supported a line pipe factory, SCC Nigeria Ltd, through technical support for certification and guaranteed supply to produce its first set of carbon steel pipes for our use in the construction of the Trans- Niger Pipeline. We have also supported a feasibility study on new pipe mills and efforts are ongoing in partnership with NCDMB and willing investors to set up new mills in Nigeria. On 25th June, 2013, the ground breaking ceremony for a new pipe mill in Ologbo, Edo State will be held. It is the product of a partnership between Technova (a Nigerian company) and PSL of India. Shell has continued to provide certification support for manufacturing of local clamps and hosted an industry Roundtable on drilling fluids and production chemicals manufacturing. SPDC is also exploring the potential for local production of personal protective equipment (PPE) by Nigerian companies. Training Shell is equipping the Nigerian Institute of Welders (NIW) Laboratories, to further domesticate welders training and products testing. They also supported the development of the curriculum for the Federal College of Marine Technology (FCMT) and are in the process of developing their facilities to aid domestication of divers training, training Nigerians from the local community and establishing a world class restaurant being managed by them to provide catering services at the Bonny Oil and Gas Terminal in Rivers state in the eastern Niger-Delta. In addition, the they run an extensive training program which includes award of Post graduate scholarships in engineering and related fields, FEED Engineering Training, Vocational Training, Entrepreneurship Development programs and Training of Wireline Engineers for Nigerian service
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providers. Just recently in Port-Harcourt, about 14 FEED Engineers trained by Shell demonstrated their competences and capacities to representatives of over 30 service companies, NNPC and NCDMB. Supplier Development In recognition of the fact that lack of access to capital is a key blocker to the growth of Nigerian companies, last year SPDC launched a $5 billion Contractor Support Fund Scheme with five (5) leading Nigerian banks. This scheme allows companies with contracts issued by Shell companies in Nigeria to access affordable credit to enable them to get started and execute their contracts successfully. Another way SPDC help suppliers is by working with others to create powerful networking opportunities that lead to real business opportunities. They've run such events in the UK, India and China, bringing Nigerian companies into direct contact with companies in those countries. The first Nigeria/UK investment summit organized together with the United Kingdom Trade and Investment agency was held in 2009, and since then, more than 35 business partnerships
have been formed between British and Nigerian companies, with some of them executing contracts for Shell and other International Oil Companies. A good example is the technical service agreement between Xodus (UK) and Amecron Nigeria Ltd. for project management and engineering design activities and the commencement of incountry manufacture of flanges, bolts and nuts by the Nigerian Machine Tools Company, Osogbo, working with Beck Prosper of the UK. And the drive is ongoing. As recently as May 2013, some 100 Nigerian and British companies attended an investment summit in Lagos, jointly hosted by Shell and the United Kingdom Trade & Investment (UKTI), as part of efforts to forge partnerships among businesses in the two countries. Some 45 British companies met with their Nigerian counterparts to discuss potential areas of collaboration in Engineering Procurement Installation Commissioning (EPIC) contracts, manufacturing, fabrication and general oil and gas services. It is expected that the partnerships resulting from the summit will further grow the capacity of Nigerian companies in provision of goods and services in the oil and gas industry. Research & Development To promote research and development, Shell donated equipment to Federal Universities in Owerri, Ibadan and Port Harcourt to establish schools for development of local capacity to produce drilling mud for the industry. The company built and equipped the Centre for Environmental Management and Control at Nsukka in South East Nigeria to provide worldclass Environmental Impact Assessment
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STORY
(EIA) services. Other interventions include the donation of wave stimulation equipment to the University of Science & Technology in the Niger Delta and sponsorship of a Centre of Excellence for Geosciences & Petroleum Engineering in the University of Benin. Periodically, they undertake targeted research projects with academic institutions in Nigeria and now outsource sub-surface study work to indigenous contractors to develop in-country capability in that category. Infrastructure Development Shell supported one of the Nigerian marginal field operators, Niger Delta Petroleum Resources (NDPR) Limited as technical support and commercial partners, to develop the Ogbele field. The plant and pipeline have potential to supply 100mmscf/d and is currently delivering gas to NLNG plant in Bonny via a Sales Agreement being managed by SPDC Commercial team. These initiatives are with their attendant positive impact on the community, local and national economic and social indicators. And they have contributed to the steady growth of in-country capacity in some of the critical categories that were previously a challenge for Nigerian companies to participate in. In 2012, Shell Companies in Nigeria awarded 96% of their total number of contracts to Nigerian companies (a total value of $2.4 billion) in 2012, an increase of $1 billion above the 2011 figure. These contracts represent 64% of the total spend on contracts during the year. For these huge contribution to the growth and development of local, indigenous companies, leading to national economic growth, Orient Energy Review is proud to present Shell Nigeria Companies with the award of the most outstanding IOC with excellent performance in Nigerian Content Development. Congratulations!
Orient Energy Review Dec. 2013
LOCAL CONTENT
T
he Nigerian Content Development & Monitoring Board has won yet another accolade-Recepient of The Nigerian Risk Award-for its successful implementation of the Nigerian Content Act, which is impacting positively on the local economy, attracting over $5bn investment in four years, creating over 52, 000 jobs and generally transforming the way Oil and Gas Business is done in Nigeria.. The award, which was the first edition, was conferred on the Board at a ceremony in Lagos attended by bigwigs in the oil and gas, insurance, banking and allied sectors of the economy. The Nigerian Risk Award which is modelled after the UK version was organised by Conrad Clerk, an international Risk Management company. Speaking at the event, the Chief Executive of Conrad Clark, Mr. JoeHakeem Adenusi explained that the Board was selected as the top performing organization in Oil and Gas Industry from a survey it conducted on a cross section of industry stakeholders. According to him, “In 2010 the Federal Government took a giant step by making the Nigerian Content Act a reality.” The Nigerian Content Development and Monitoring Board under the leadership of the Minister of Petroleum Resources, Mrs Diezani Alison-Madueke has
Engr. Ernest Nwapa
NCDMB Wins 'Nigerian Risk Award' deployed a strong implementation regime in collaboration with stakeholders to promote investment in Assets, facilities & infrastructure, domiciliation of work scope, training & employment of Nigerians and use of local resources for industry operations. “The Nigerian Content Act is enabling our people, strengthening them, empowering and The Award was received on behalf of the Honourable Minister who is also the Chairman of the Board's Governing Council by the Executive Secretary of NCDMB, Engr. Ernest Nwapa who described the award as a significant milestone which demonstrates the impact of the Act's implementation on linkage sectors. He thanked Conrad Clark for the honour and indicated that the NCDMB is frequently nominated for variety of Awards, but special care is always taken to ensure that the Board only accepts Awards that can be genuinely linked to the work of the Board. “In this case, it is easy to see why the Board deserved nomination for the Risk Management Award considering the increased market share of Nigeria Insurance companies occassioned by
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implementation of the Act which has increased Local underwriting capacity by over two hundred percent in the past three years” It will be recalled that multinational operating and service companies resisted the legislation and highlighted the risk to the government that signing of the Bill will hurt the smooth operations of the industry and derail the national economy. “When the Honorable Minister was appointed in 2010, she was confronted by the position of key stakeholders of the Oil and Gas industry but had to weigh in on the national development imperatives of the Nigerian Content Law. Executive Secretary further explained that the signing of the Nigerian Content Bill into law by President Goodluck Jonathan was a calculated risk to promote overriding National interest. Therefore successful implementation of the Act's provisions by the Honourable Minister, Governing Council, Management and staff of NCDMB involved skillful risk management applications worthy of recognition.
Orient Energy Review Dec. 2013
LOCAL CONTENT NCDMB Wins 'Nigerian Risk Award' Nwapa enthused that the implementation of the Nigerian Content Act has been a game changer in the operations of the Oil and Gas industry, contributing immensely to the nation's economy and being extended to other sectors. He further
advised investors in fabrication, manufacturing, drilling, shipping, engineering and other areas of the industry to embrace risk management initiatives in view of the massive work, investment inflow and increasing transfer of control to indigenous players. The Executive Secretary also challenged banks to adopt modern risk appraisal methodologies in longterm
transactions with indigenous operators and service companies Nigerian Content Policy The Board and Management of NCDMB have been conferred with several awards in the past three years, one of which was the Oil and Gas Man of the Year won by the Engr. Nwapa in February 2012 and the Oil and Gas Fnnd of the Year conferred on the Nigerian Content Fund in February 2013.
EPC, Free Zones Creating the Platform for Local Content Capacity Development By Pita Ochai
T
he interplay of Engineering, Procurement, and Construction, EPC, and Free Zones, has a huge part in the development of local content capacities in the Nigeria oil and gas sector. According to Engineer Ernest Nwapa, Executive Secretary, Nigerian Content Development and Monitoring Board, NCDMB, EPC and Free Zones create the necessary platforms for kick off, progress and stabilization of the local content imitative of the federal government of Nigeria. Engr. Nwapa gave the assertion during the Nigeria Oil and Gas Trade and Investment Forum 2013, organized by the CWC Group in conjuction with the Federal Ministry of Trade and Investment,
and Orlean Invest, with the support of the Federal Ministry of Transport and Federal Ministry of Petroleum Resources. The forum was held between October 24 and 25, 2013, in Onne Oil and Gas Free Zone, Nigeria. Nwapa Opines that as the country continues in Engineering, Procurement, and Construction, EPC, in the different areas of Gas development, refining, upstream field development, and operational maintenance, local content capacity will also be built. In the areas of gas development, EPC will be helpful in building local content capacities in the Nigeria gas master plan implementation, domestic supply obligations, new IPPs, Brass LNG, NLNG Train 7, and OKLNG. In the refining processes, EPC will help build the local content of the country in the areas of the introduced Greenfield Refinery Projects; presently, there are 3 new refineries and a petrochemicals plant being introduced by the government. In the Upstream Field
As the country continues in Engineering, Procurement, and Construction, EPC, in the different areas of Gas development, refining, upstream field development, and operational maintenance, local content capacity will also be built. Development, the deep offshoreEGINA, ERHA North, OPL245, Bonga SW, Bonga NW, are all areas to be explore by the local content initiative. In the Operation and Maintenance, logistics bases, ports, drilling infrastructure, terminals and jetties are possible areas that can be harnessed for the local content capacity development. The NOGICD Act domiciled activities for Engineering, procurement, and Construction, EPC, in the development of local content capacity. In the Engineering aspect - the Act provides minimum targets for Continued on pg22
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Orient Energy Review Dec. 2013
O ERY T O LL H P GA Energy Institute Holds First Downstream Forum In Lagos, Nov. 22nd, 2013
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Orient Energy Review Dec. 2013
O ERY T O LL H P GA THE 3rd PRACTICAL NIGERIAN CONTENT FORUM, HELD IN YENAGOA, BAYELSA STATE, Nov. 19 21st 2013.
Three good heads: Deputy Gov. Bayelsa state, John Jonah, Engr. Ernest Nwapa, E.S NCDMB and Simbi Wabote, CP, Global Local Content Manager, Shell, Qater; rub minds together.
Executive Secretary, NCDMB Engr. Ernest Nwapa attending to some delegates
I Go Dye stage
Drama by the Bayelsa state arts and culture group
Group shot: MD, Oando Energy services (2nd from right) and other delegates pose for a shot
Group photo-L-R Henry Okolo, MD/ CEO Dorman Long, Engr Ene, NCDMB Legal Director, Mr. Uzoka, and other delegates.
Networking time: MD Marine Platforms, Taofik Adegbite and MD, BGTechnical, Enr. Geoff Onuoha
Delegates from Century Group, Petrobras and OCTG pose for a shot.
NCD Manager, Shell Nigeria, Austin Uzoka and CEO OCTG Ltd.
Famous comedian I Go Dye and some delegates at the evening reception
Orient Energy Review team was on ground in Yenagoa.
Deputy Gov., Bayelsa state, John Jonah and Engr Emeka Ene, President of PETAN
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Orient Energy Review Dec. 2013
LOCAL CONTENT EPC, Free Zones Creating the Platform for Local Content Capacity Development engineering activities and project management services. The Act also emphasizes the utilisation of locally made goods it mandates that procurement of locally made goods should be as stipulated by the Act, It requires operators to obtain waivers before any material can be imported for use industry. NCEC is requirement in tenders involving supply of equipments. Also, in country fabrication, the Act mandates all fabrication and welding activities to be carried out in-country, it also sets minimum targets for fabrication. On the aspect of Installation, hook up and commissioning the Act provides minimum targets for installation activities in the oil and gas sector. In the area of Marine Operations and Logistics Services the Act provides minimum targets for marine and logistics services. In the employment and utilisation of Nigeria services- the Act mandates first consideration should be given to Nigerians on employment and training, it also mandate utilisation of Nigerian services such as insurance, legal and financial institutions in all activities involving the oil and gas sector. But the domiciled activities for EPC is not without its challenges, according to Nwapa, there are inadequate capacity especially manufactured
high tech goods, project financing (availability and cost of capital), access to technology and knowledge, schedule and cost to serve, and inadequate R&D support. According to Nwapa, local EPC companies can evolve from synergies within Free Zones, that is the reason the federal government has continued to encourage the establishment of Free zones. According to him, “The roles of the Free Zones are: to attract international and local players due to incentives; increase productivity due to availability of skilled workforce; meet project schedules using available world class infrastructure; increase cost competitiveness due to tax waivers and shared services; specialized service hubs due to complimentary services and knowledge exchange; ensure that the products meet industry and international standards; and R&D activities to ensure continuous process improvement and new product development. The build up area of each park is expected to consist of the following businesses at the minimum: manufacturing (e.g Brackets, switch
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Continued from pg19
gear, panels, etc.), maintenance and repairs workshop, utilities base power plant, water supply, waste management, telecommunications, parking space, warehouse and distribution center, security post, financial services center, training and research & development center, clinic, canteen, and office accommodation. The attributes of Free Zones are: proximity to gas corridor, attract SMEs in partnership with international OEMs, nearness to power source, availability of skilled labour, raw material base and critical product demand by oil and gas industry. The key thrust of NOGICD Act is to: maximize utilization of Nigerian made goods and human resources, link Oil & Gas industry to other sectors of the economy, ensure participation of indigenes and oil producing communities in all aspects of Oil and gas business, foster institutional collaboration. And the focus areas are: job creation, training, domiciliation of capacity, technology and activities, and development of facilities and infrastructure.
Orient Energy Review Dec. 2013
ENERGY FINANCE
Ecobank Capital, Orion Oil sign $500m deal
E
cobank Capital, the investment banking arm of Ecobank Group, leading pan-African bank, says it has successfully raised, on behalf of Orion Oil Limited, the sum of $500m to be utilised for the prepayment of crude oil cargos to be supplied by Société Nationale des Pétroles du Congo (The National Oil Company of the Republic of Congo). According to a statement by the bank, the facility comprises a United States dollar-denominated $342m tranche and a XAFdenominated $158m tranche. Ecobank Capital acted as the Mandated Lead Arranger, working with United Bank for Africa Plc as the co-arranging bank. Participating lenders were Afreximbank, BGFIBank Group, UBA Group, Banque Atlantique Group and the Ecobank Group. Orion is a privately held company whose principal activities include the physical trading of crude oil and refined products, according to the statement. The company focuses on the value chain of the oil & gas industry, supplying approximately 100,000 metric tons of refined products each month along the West African coast and holding interests in oil & gas fields in Congo. Orion entered into a 24-month crude oil allocation programme with SNPC, the largest oil & gas company in Central Africa. The proceeds of
the debt facility will be used to fund the prepayment of the aforementioned crude oil cargos (amounting to circa $100m per cargo) on a Free on Board basis. This transaction is the largest loan syndication completed to date in Central Africa solely funded by regional African banks and for an indigenous company. It clearly showcases the increasing interest of regional banks in financing capital intensive oil & gas deals in Sub-Sahara Africa, channelled through the diligent syndication expertise of Ecobank Capital. The statement quoted the Acting Managing Director of Ecobank Capital, Mr. Ikenna Onyejiaka, as saying, “This landmark transaction underscores Ecobank Capital's capabilities as a Lead Arranger of syndicated loans, working with Africa's key financial institutions to provide vital support to Congo's economic growth, especially at a time when the Eurozone crisis is threatening African businesses' access to international markets.” An Executive Director of Ecobank Nigeria, Ms. Foluke Aboderin, added, “Ecobank is proud to be associated with Orion Oil Limited, truly international oil company with a reputable track record. We are indeed excited to have participated in the $500m pre-export financing with SNPC, Congo. “For us at Ecobank, this transaction is undeniably strategic and represents what we are about leveraging on our large footprint across middle Africa to support viable businesses for the development of our continent. “Our expectations are that we would continue this strategic alliance/partnership with Orion in a
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manner that is mutually beneficial to both institutions.” The Managing Director of UBA Cameroun, Mr. Georges Wega, said, “UBA Group's strong participation in this landmark deal underscores our passion to support African businesses and develop the economies of the continent. We look forward to doing more with more African businesses.” According to the statement, the President of Afreximbank, Mr. JeanLouis Ekra, observed, “Afreximbank is delighted to be part of this transaction, which not only supports Orion Oil Ltd in consolidating its position as a leading indigenous player in the oil sector, but significantly boosts the capacity of the Republic of Congo to meet the development needs of its citizens. The transaction is a reflection of Afreximbank's commitment to promoting trade and supporting local entrepreneurs.” It quoted the Managing Director of BGFIBank Gabon, Mrs. Patricia Manon, as saying, “Through a notable participation of $120m in funding the Orion transaction, BGFIBank Group, the pre-eminent banking group in Central Africa, reaffirms its willingness to support the development of companies operating in strategic sectors bringing additional growth to African economies.”
Orient Energy Review Dec. 2013
ENERGY FINANCE
Ghana Economic Summit: Oil Is No Guarantee of Economic Success - World Bank Scribe By Gilbert Boyefio
“
Oil is no guarantee of economic success,” said Santiago Herrera, a Lead Economist at the World Bank in charge of Ghana, Liberia, and Sierra Leone. According to him, many oil producing countries are economically worse off now compared to the 1970s, citing Nigeria, Angola and Venezuela to buttress his point. Speaking at the Ghana Summit organized by The Economist in Accra, Mr. Herrera indicated that oil producing countries like Ghana can only benefit from its oil resources if government takes good governance and the rule of law serious, adding that, “Productivity growth is associated with better institutions.” Ghana's growth has been linked to its natural resources and will continue to do so, especially with the addition of oil and gas to the country's economy. Mr. Herrera proposed institutional reforms to support productivity growth through effective public spending. To him governance reforms of SOEs are needed to reach acceptable levels of public service provisions. He further pointed out that a fundamental Public Investment Management System (PIM) is required. PIM is a diagnostic tool to assess public investment management systems and is critical for economic growth and poverty alleviation. Mr. Herrera stressed that a diversified economy will ensure that
Ghana's oil and gas resources play a key role in driving the Ghanaian economy, with rents, jobs and increased power generation all coming from continued development of offshore resources. The resource curse, also known as the paradox of plenty, refers to the paradox that countries and regions with an abundance of natural resources tends to have less economic growth and worse development outcomes than countries with fewer natural resources. According to Wikipedia, “From 1965 to 1998, in the OPEC countries, gross national product per capital growth decreased on averaged by 1.3%, while in the rest of the developing world, per capita growth was on average 2.2%. The Ghana Summit openly explored the risks and opportunitiestensions and compromisesthat are facing this thriving global African economy. The two day event, put together by the Economist, London, which rode on the theme “Turning potential into opportunity”, brought together over 150 leaders and stakeholders from government, business and finance who are also interested in Ghana's future. While sections of the continent still face steep challenges, Ghana is well placed to benefit from the forces of beneficial change in the region. This is partly due to the fact that the country has a strong and sustained growth in recent years - with the country benefiting from high global commodity prices and continued political stability. Ghana also has a youthful and better educated workforce, with half of the population under 20, coupled with the emergence of a new generation of tech-savvy entrepreneurs. The country has one of the most developed telecommunications sectors in Africa, with mobile phone penetration surpassing the 100% barrier. There is also a concerted effort by the Ghanaian government to attract foreign investment and improve ease of doing business. However, Ghana faces serious challenges too. Its economy remains vulnerable to external factorsin
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particular the risk of a slowdown in China, the global commodity cycle and high inflation. On the West African front, Ghana is pushing for reforms of the ECOWAS Trade Liberalization System. According to Ghana's Foreign Affairs and Regional Integration Minister, Hannah Tetteh, there should be a uniform process of evaluating trade liberalization schemes. She said there is a strong case for harmonizing standards between member states, explaining that, “The current system brings additional costs to businesses and are inherent with fraud.” Hannah Tetteh appealed to countries like Nigeria, who occasionally want to do things alone because of their market size, to join hands and come together with member states to achieve a common economic prosperity. Other speakers at the Summit included George Ayittey, Founder, Free Africa Foundation; Bright Simons, Chief Executive Officer, MPedigree; Jim Judson, Managing Director, PZ Cussons Ghana; and Andrew Clocanas, Executive Chairman, Construtora OAS.
Orient Energy Review Dec. 2013
LOCAL CONTENT
Capacity Building: IPS Inducts 41 Engineers By Vivian Israel, In Port Harcourt
I
n a bid to boost effective manpower in the Oil and Gas industry, the Institute of Petroleum studies, University of Port Harcourt recently inducted forty one petroleum engineers. The institute also awarded Diplomas certificates in Petroleum Technology, PGDPT, to 21 students and Masters of science Degrees in petroleum engineering and project development to 20 students who participated in the programme. In a welcome address by the vice chancellor, University of Port Harcourt, Professor Joseph .A. Ajienka during the IPS tenth induction and anniversary ceremony held in UNIPORT, said most of the granduants have been interviewed for job placements while some have already secured employment. While commending the granduants for demonstrating that they have been adequately trained for the complex, professor Ajienka said the institute is capable of training world class petroleum engineers for oil and gas industry with its enabling environment and the landmarks so far recorded in the programme since it was
established for ten years. Expressing satisfaction that the IPS has become a pride to the university of Port Harcourt and a model in the Nigerian educational system, the vice chancellor appreciated management and staff of IPS for ensuring that its standard are not compromised, he continues to hope that the Institute continues to blossom in the next ten years. Professor Ajienka who was a pioneer director of the institute, thanked NNPC, Total E&P joint venture operators including IFP school Frances for the their collaboration with Uniport in establishing the institute. He described the anniversary/induction ceremony as significant because they are celebrating internationalization of high education and as well celebrating sustainability of academic excellence. He noted that IPS model has also used as a veritable platform for other centres of excellence with the
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IPS graduands, management, staff, Engr Enerst Nwapa, NCMB executive secretary, UNIPORT V.C prof Joseph Ajienka, IPS director Prof Mike Onyekonwu and Total E & P vice president, Nicolas Brunet
university and outside, enjoining the grandaunts to be courageous, confident, optimistic in the challenges ahead. Also in his speech, Director of Insitute of Petroleum studies, Professor Mike Onyekonwo disclosed that despite the poor human capital development in the society which is unsolvable to several organizations IPS model remains the most successful in education system. Highlighting, professor Onyekonwo said the birth of IPS which was funded by NNPC, TOTAL joint venture was as a result of strategic partnership between an Institution and UNIPORT. Narrating the institute achievements, he said the IPS has
Orient Energy Review Dec. 2013
LOCAL CONTENT
graduated 197 (one hundred and ninety seven) students in Master Science and one hundred and one post graduate diploma students and all have gained employment in different companies. Since the society benefits from having properly trained graduates, the IPS Director implored corporate bodies and rich individuals to support the institute. Professor Onyekaonwo maintained that the institute aimed at becoming the training hub for all petroleum and gas activities in subSaharan Africa, with the expectation of having twenty five international students enrolled in their academic and research programmes. Stating that the institute would graduate about ten Phd students, the IPS director revealed that it also aimed at having about two more affiliation with internationalization of their programmes. He expressed the need for collective effort to rebuild the educational infrastructure in order to provide quality education to the younger generation, stressing that education is not just government of affairs. The vice president of TOTAL E & P Nigeria limited Nicolas Brunet in his speech said institute of petroleum studies was established to strengthen relationship with oil companies and government for capacity building. Brunet commended the management for providing enabling environment to achieved the aim which IPS was established. Speaking also, chairman of the governing board, Institute of Petroleum Studies, Mrs Edith Ofili Okonkwo corroborated that IPS standard has not fallen over the years. Attributing to the foundation of excellence on which IPS was built to the consistent success of the institution in producing world class M.Sc graduates in petroleum
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engineering and project development for ten years, Mrs Okonkwo said IPS is consistent and determine to make a difference in Oil and Gas industry. On her part, the Minister of Petroleum Resources, Mrs Diezani Allison Madueke, who was represented by the Executive Secretary, Nigerian Content Development and Monitoring Board, Engr. Ernest Nwapa attested that the IPS students are always described best in the oil and gas industry when employed. According to the Minister, the current transformation agenda of president Goodluck Ebele Jonathan is designed to improve the country living standard to meet 2020. Mrs Allison Madueke reaffirmed that the recent privatization of the power sector which has attracted support would drive training and employment opportunity in Nigeria, saying that federal government is making effort of providing enabling environment for its citizens. The Executive Secretary of Petroleum Trust Development Fund, PTDF, Dr. Oluwole Oluleye represented by Mrs Jacqueline Guyil expressed readiness of PTDF to continue partnering with IPS as far as capacity building is concerned. Citing the institute as a unique example, he was optimistic that PTDF is happy to identified and collaborated with theIPS in particular and the institution in general. However, for easy access to knowledge a digital library worth of seventy five million naira was commissioned and donated earlier by Dr Egbert Imomoh to the institute. Furtherance to its effort in improving the industry, a building for the Emerald energy institute was donated to the institute by Emerald energy resources limited.
Orient Energy Review Dec. 2013
LOCAL CONTENT
1PS Graduands, management, teachers, Total E & P vice president Nicolas Brunet, Prof Nur
IPS Graduands, Batch 10
L-R Total E & P vice president, Nicolas Brunet, IPS Director, prof mike Onyekonwu
Miss Ufomaduh Mirian Kosi, Overall best student of PS, Batch 10
Earlier, during the induction lecture, the guest lecturer and immediate past international President of Society of Petroleum Engineers, Dr. Egbert Imomoh, emphasized the need to encourage indigenous companies on oil exploration instead of depending on Agip, Shell or Exxonmobil. Dr. Imomoh said with the rapid increase of population in the country, the target of producing four billion barrel of oil pay day would not meet the need of the future population, calling for the increase of internal consumption to boost Nigeria growth. Meanwhile, awards and prizes were given to the best overall graduates in various department of IPS. Corporate awards were also presented to Total E& P, NNPC, PTDF, Emerald Energy Resources limited, Nigeria Agip oil company, Nigeria institute of safety professionals, Schlum berger , Berger hill limited, Marpo hill investure, Weltek Nigeria limited, NCDMB, Sicon limited, Nigeria Petroleum Development company for their support. Professor Ifeanyi Nwagoze received the best outstanding teacher with 4.9 in the Institute. In her Valedictory speech on behalf of the granduants, Miss Ufomaduh Mirian Kosi
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IPS Director, Prof Mike Onyekonwu
who emerged as the best and overall students of the institute in various departments, thanked the management of Total E & P for availing them the opportunity of experiencing quality education including management of IPS, IFP school Frances ,IPS director for their intensive support and hard work in running the institute. Miss Kosi said IPS has added another building block to them in the quest to build a more capable workforce for the oil and gas industry. Those who were also presented with cooperate awards at the award dinner for their support are , Proferssor Emeritus Anosike, Engr.Victor Bandele, Professor Colinus Oba, Professor Abiola Kinde, Prof. J.B. Okoh, Prof. Julie .O. Okoh, Dr. Mrs Helen Nkoyo, Dr. Mrs. Bridget Nwanze and Prof. Amos Nur.
Orient Energy Review Dec. 2013
In The SpotLight
Orlean Invest; 25 Years of Success Stories For Orlean Invest Holding Limited, an operator in the Nigerian Oil and gas sector, 25 years of its operation has been years of huge success stories and landmark achievement in the industry.
By Margaret Nongo-Okojokwu, Pita Ochai
Like the saying goes, every good thing has a small beginning, the Orlean Invest journey in Nigeria started in 1988 with the lease of little amount of facilities in Onne port. But a step taken with a big dream at heart leads to giant strides, which might be the secret of the successes of the company in the last 25
Orlean Investment took the bold step to break new grounds with its first deep water company to its enviable height support operation in Federal Ocean Terminal, FOT, within that year the Onne Oil after 25 years of its operation and Gas Free Zone was established, D.M.S in the country. (Nigeria) Limited was appointed as Free In the words of Zone management consultants by the Gabriele Volpi, chairman, and Federal Ministry of Commerce in 1997. In CEO, Orlean Invest Holding 2000, the first NAPIMS “Industry Wide Limited, the 25 years history is Standard Tariff” approved JV with a story of unqualified success. Maersk/APMT (West Africa Container To him, Orlean Invest have Terminal Limited). succeeded in the In 2006, it was awarded the accomplishment of a vision in concession for: Onne, Warri, and Calabar which the company strongly Ports for 25+25 years, in 2010, the Nigerian believed. “The same vision that President performed the opening ceremony is still driving our efforts today, for new facilities and projects initiated by the efforts focused on achieving a company. Presently ongoing are other multibetter and more efficient million dollar projects around the country. service for our clients, together The Onne Port and its surrounding with the constant development hub showed the magic hand of Orlean of our facilities in response to Invest in transforming projects into a world the needs of the oil and gas class standard. Since Orlean Invest started industry,” he said. the lease agreement project of Onne port, Orlean Invest started the port has been described as “the jewel of on a light note with a 5 year the crown” of Nigeria's logistics support lease at the Federal Lighter industry. Before Orlean Invest took over the Terminal, Onne Port, and Port, it was a small and relatively Warri old Port in 1988, after a underdeveloped one. Under the brilliant performance in that 5 administration of Orlean Invest, it has grown years of lease, the Onne port to become the largest oil and gas free zone complex lease was extended in the world, measured by physical area, for 21 years in 1992, including and number of clients of the volume of Warri port complex and investments. The port is constantly Calabar new port. In 1996, developing in order to improve its services years. That dream stirred the
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while adapting to the demands of rapidly developing oil and gas sector, with emphasis moving from swamp and shallow water, to deep-water and ultra deep-water exploration and production activities. Orlean Invest has over the years also turned the Warri port Complex to an enviable one. Facilities and services within the ports were tremendously improved and increased to meet modern demand. The Warri Port is now an important base for the EGTL project carried out by Chevron. The location of Warri Port Complex makes it ideal for land, swamp and shallow water activities nearby. Today Warri Ports Complex occupies an area of 155 hectares and jetty size of 1,939m. Also developed by Orlean Invest is the Calabar Ports Complex which is now supporting the eastern region of the country. Orlean Invest in the last 25 years of its operation in the country has also made its mark in the real estate sector of the Nigerian economy. The company boasts of different estates in different locations in the country especially in the Niger-Deltan area. Its aim is to meet the accommodation problem of oil and gas workers. Among its estate finished to taste are: Onne Estate, Rivers Estate, InterOil Estate, Delta Estate, Eko Energy Estate, and Abuja Hills. Almost all the estates are
Orient Energy Review Dec. 2013
In The SpotLight described as safe heaven to work, live and relax. For example, the Onne Estate is conveniently located in close proximity to the Onne Ports Complex and within the Onne Oil and Gas Free Zone, the largest oil service centre in the world. Onne camp was built back in the late 1970s by a Dutch company “ADRIAAN VOLKER� as living camp for the construction of the Federal Ocean Terminal at Onne, and abandoned in 1983, with 72 accommodation units. Today, the estate is offering 900 units, camp facilities and services in a land area of 60 Ha and located 20 Km south-east from Port Harcourt. InterOil Estate is located at Amadi Creek area of Port Harcourt, construction work started in the area in 1995, and presently has 262 apartment units and includes a 60-room hotel, camp facilities and services. The Rivers Estate is located at Km 16 Aba Expressway, Port Harcourt, Rivers State, it is located 25 Km south-east from the International airport, 20 Km from north-east of Onne and 10 Km north-east from InterOil Estate, Porth Harcourt. The camp was acquired from GUFFANTI, a company operating in Port Harcourt for the construction of Aba-Port Harcourt Expressway in 1985 with 35 accommodation units. Today, Orlean has increased the accommodation units to 416, 14,000m2 office space, camp facilities and services. Delta Estate is located in the vicinity of the Warri Port Complex and within the new Warri Oil and Gas Free Zone. Developed in approximately 33 Ha of land, and located four kilometers from the city of Warri. It is connected to the city through a dual carriageway. The acquisition of land started in
CHAIRMAN/ CEO ORLEAN INVEST, Gabriele Volpi, Presenting his son, Simone Volpi, as the next generation of leaders of the company.
Tu face 1996, presently, the estate counts 249 accommodation units, camps and facilities and services. In the next few years, Orlean Investment hope to sustain the vision which has enabled the company achieved much in last 25 years. Among its ongoing visions are: Onne Port phase 4, which was approved and granted by the Office of the President through the Ministry of Transport. The projects involves: sand filling and reclamation for the total of 90 Ha, widening of the channel entry, and Federal Ocean Terminal construction of berths 9, 10 and 11 for a total of 750 metres of quay having a 12 metres draft. The Lagos Port is another ongoing vision of the company, with the
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aim of improving the quality if support provided to the oil and gas industry in the Western blocks, NPA awarded ESS the redevelopment of the existing port facilities located at the Bullnose in Lagos Port Complex. The development will provide ESS with 400m and overall total area of approximately 70,000sqm. When the project is completed, the port will be the only Lagos base Port Complex having a 12LLW. It is projected to be completed in June 2014. Orlean Invest is also handling the Badagry Port Consortium that will deliver a successful Greenfield Port and Free Zone capable of being a catalyst for the country's growth for the next 100 years. Orlean Invest is also involve in the Eko Energy Estate in Victoria Island, Lagos, where part of the Atlantic Ocean is being reclaimed by the Lagos State government. The estate located in Bar Beach will be a self-contained city developed on an area of approximately 450,000sqm offering all necessary facilities. The first phase of the project is expected to start in January 2014 and will be completed in 36 months. The Nigerian seat of governance will also feel the touch of Orlean Invest. It has a plan to construct accommodation units which will be known as Abuja Hills Estate, Asokoro District. According to then
Orient Energy Review Dec. 2013
In The SpotLight plan, the estate will be developed on an exclusive area of 60,000sqm in Asokoro district, very close to the governmental area, with high standard accommodation units, all services and facilities i governmental area, with high standard accommodation units, all services and facilities inside the compound with a robust security. Therefore, as this investment giant marks her Silver Jubilee, we see a group of companies, with a strong
will to succeed despite all the challenges and obstacles, we see a tale of successes, borne out of sheer determination to succeed against all odds. Today Orlean Invest stands tall as it bids farewell to those who carried the company for the past 25years, while ushering in a new crop of professionals to lead the company in the next 25 years to come. Congratulations!
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Akon
Orient Energy Review Dec. 2013
COVER STORY NCD Most Transformed Company 2013 DORMAN LONG Engineering Ltd
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orman Long Engineering Limited was founded in 1949 by a mechanical engineer named F. E. Turton Hart and Geo Cole. Operating as Amalgamated Engineering Limited, one of the first structural engineering companies in Nigeria specialising in structural steel fabrication for bridges, factories and warehouses. In 1960 the company merged with British Steel's Dorman Long and became Dorman Long & Amalgamated Engineering Limited with a much wider product range including water and fuel tanks, and commercial buildings. The company, then 100% owned by British Steel, played a major role in the general industrial development of Nigeria from the 60's 80's including the spanning of the vast River Niger in the East a bridge which today remains the main link between east and west Nigeria. The name changed finally to Dorman Long Engineering Limited in 2002. The promulgation of the indigenisation decree in 1977 by the Federal Government, saw the beginning of a significant reduction in foreign and an increase in Nigerian shareholding and today the company is 100% owned by Nigerian institutions and individuals. By the 90's the company have moved into the manufacture of equipment for the rapidly expanding oil and
gas industries starting with pressure vessels and to do so had developed the facilities and key state of the art skills required for a wide range of high precision heavy engineering products and services. The expansion of facilities and skills continues, most recently with the installation of Nigeria's only large scale engineering quality hot dip galvanising plant. Today Dorman Long is the leading Nigerian engineering company, manufacturing products and providing services to the oil, gas and other industries previously only available from overseas. Major development and expansion over recent years has and continues to be facilitated by substantial ongoing further shareholder investment. A further quantum step is anticipated in the very near future by the company being listed on the stock exchange. Dorman Long is a group of separate but interrelated units (companies and divisions) which combined provide a wide range of engineering based services and products to many industries but with particular emphasis on the oil and gas industry onshore and offshore in Nigeria, the Gulf of Guinea and other surrounding countries. The group is head quartered in and managed from Lagos, Nigeria, with three manufacturing sites in Lagos and a major procurement operation in Dubai The current units are: Dorman Long Engineering Group Dorman Long Asset Management Division Dorman Long Fabrication Dorman Long Protective Coatings Limiteds
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NNPC/Mobil Oyot wellhead platform on low bed at Dorman Long NND facility during loadout
IMTECK VONK Skid Assembly
SHELL GBARAN UBIE VESSELS Completed 2009
Dorman Long EPC Dorman Long FZCo, Dubai, U.A.E. The company prides itself with its achievements in the Nigerian oil and gas industry; riding on its commitment to the industry.
Orient Energy Review Dec. 2013
INTERVIEW
It is Time to Invest in Power - Chukwu
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ith the recent handing over of the Power Holding Company, PHCN, to Private investors for improved power supply to Nigerian, the Federal Ministry of Power is now saddled with the responsibility of wooing investors to come and invest inthe sector. Mr. Emmanuel Chukwu of the investment Department of the Federal Ministry of Power, in this brief chat with Orient Energy Review Editor, MARGARET NONGO-OKOJOKWU, at the Power Nigeria Conference and Exhibition in Lagos, throws more light on this topic. Excerpts.
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ooking at the present handing over done by president Goodluck Jonathan to the Generation and Distribution companies, what future do you see of Nigerians and Nigeria as a nation? I see a brighter future in the area of power and power distribution, power generation ,like most of us are all aware, the Gencos, that is the generation
companies that have been bought over are being handed over to their new owners. Some Discos also have been handed over to their new owners. Their new owners have invested hugely on this project and I can assure you that they know there is light at the end of the tunnel that is why they have invested in it. So invariably we as Nigerians should expect an improved power. Nigerians are particular about tariff, so while we talk about investment, let's also talk about the tarrif that goes to the common Nigerian in this matter, where does that come into play? let me just tell you that there are three types of tariffs . We have MYTO 1, MYTO means Multi Year Tariff Order, we have MYTO 2 and MYTO 3. It
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depends, for industrial areas, they give them a different MYTO, high brow areas are given different MYTOs , while high density areas are given lower tariffs, I hope that satisfies you so that each person will have a course to smile, look at it from a different angle, lets use this analogy, if you have a generator, where you will be compelled to buy fuel of may be N500 and yet that same generator cannot give you all the services you want to enjoy. if you are using say N500 daily, you will be spending close to N25,000 in a month on power, you will be crying yet you are still not getting the satisfaction you want, but with what is on ground now, somebody on MYTO1 might not pay up to N2000 monthly and will enjoy power. Okay, let's talk about the
Orient Energy Review Dec. 2013
INTERVIEW investors, you are encouraging people in this conference to invest in the Nigerian Power sector, what is in it for investors to benefit? Too much.
people will be made to tolerate what we call 'Tomato light', but now that the business men have come into it, they will ensure that each street or at least two streets will have maybe 100kva transformers, that will power them, the unfortunate thing is that if you have this prepaid metre it will not read.
Tell us about it. I can tell you that by the time you as an investor come in, you will discover that, now that the distribution aspect has been sold, the distribution companies, the Discos are the ones you pay bills to, so that you dont say that you paid to government and government is not paying the generation companies , the only thing is ,there is NBET ,they are to ensure that if you generate power and you evacuate it on the transmission line, on the grid, you must be paid, they guarantee that whatever you evacuate on the grid, you will get payment for and they must make sure that what Discos get and distribute must be paid for, because they are the ones that collect money from the end users. Then the Discos will also want their services to improve because with what you get, if you have good transformers, you will distribute more power and get more more money, people want quality service and the moment they can get it they won't complain. So Discos will now be in charge of transformers? Yes, why we had problems with the Discos was because the transformers were with PHCN, and they know that this area needs like six transformers they will give like one or two and because of that
With this latest development, what is in it for the Ministry of Power and what is your role going to be like? Our role, One, we are to make sure that we encourage investors, like my department for now the more the merrier, it is a very wide fiel, we don't want a situation where some people will come and start playing monopoly, the more the merrier. We want more power players to come into the game, people that will generate thousands of megawatts, we are ready, we are working with our transmission lines to be able to carry what will be generated so that we won't have stories. So what is your role? Monitoring and Supervisory. How about the settlement of PHCN workers, in the area of payment.? Recently they have been given their cheques, the process is still ongoing, one thing is that some people want to frustrate this process and some people want to sabotage the progress of Nigeria but it won't work. Because once somebody has come to put in money, he must make sure that the thing is working well, for them they are scared, you know the fear of the unknown is their problem now, some of their staffs that are hardworking knows they don't have problems because they know as long as they are hard working, they are engaged.These investors are not
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Their new owners have invested hugely on this project and I can assure you that they know there is light at the end of the tunnel that is why they have invested in it. So invariably we as Nigerians should expect an improved power.
coming in with foreigners, they are going to use Nigerians, and as much as they come, more job opportunities for Nigerians. So what is your advise for this Distribution companies that have been taken over. They should ensure that services are improved on what PHCN has done or did. PHCN has so many faults, when somebody is bein given 'tomato light' and his meter is not reading, he won't pay any money If you install more transformers and give the person quality light, that person will not even mind, because using his generator cost him more, it does even give him the desired services but now that the new owners have come in and they are going to give them quality services, people will be ready to pay, that I can assure you. What exactly do you want the Distribution Companies to do? what I will want the distribution companies to do and my advise them is to ensure that they supervise their personnel, the moment they are not given adequate supervision, they will start doing whatever they like. You have invested huge in this project, don't allow somebody ruin your business, supervise them and make sure they do it right.
Orient Energy Review Dec. 2013
LOCAL CONTENT
Nigeria Needs To Address Local ICT Content Creation Minister
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mobola Johnson, Nigeria's minister of communication technology, has said there remains a “negative trade balance” between locally produced and foreign ICT products. Johnson was speaking recently at the eNigeria Conference, in Abuja, when she said she believes they were making some good progress towards the 50 per cent target of ICT local content. “The Nigerian IT landscape suffers from a clear negative trade balance, as the economic value generated locally with imported technologies used by Nigerians is still extremely
Omobola Johnson
low,” Johnson said, “With the presentation of the guidelines on Nigerian Content Development in ICT today, I think that we have reached a significant milestone in our journey to achieve the target of 50 per cent local content. “However, there is clearly still a lot of work ahead of us as an industry.” Johnson did however praise the progress made in the telecommunications sector with the rise from 0.73 per cent teledensity in 2001 to 85.25 per cent in April 2013.
Production Ramps Up At Deepwater Jubilee Field Offshore Ghana
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ullow Oil says the first planned maintenance shutdown on the Jubilee FPSO Kwame Nkrumah offshore Ghana has been completed ahead of schedule. Current focus is on optimizing the vessel's gas handling. A third gas injection well has come online, and gas export infrastructure is expected to be operational during the second half of 2014. Phase 1A development drilling has boosted well capacity to more than 150,000 b/d of oil. Tullow expects Jubilee to produce more than 120,000 b/d by year-end, subject to completion of the gas optimization work. The recently drilled Akasa-2A appraisal well successfully tested the downdip extent of the Akasa accumulation, and the partners continue to study
development options for Mahogany, Teak, and Akasa in the West Cape Three Points license. In the adjoining Deep Tano license, Tullow says it has awarded all main contracts for the Tweneboa, Enyenra, and Ntomme (TEN) development project. Last month, the Centennial Jewel trading tanker arrived at the Jurong Shipyard in Singapore, where it will be converted to the TEN FPSO. At the end of August, the company started drilling the Frégate exploratory well in the C-7 license offshore Mauritania and this is expected to reach total depth in December. The rig will then likely transfer to the C10 and C6 blocks to drill the Tapendar and Sidewinder prospects. Following last November's declaration of commerciality for the offshore Banda field, the Mauritanian government has approved a development plan that involves supplying gas from the field to a new local power station. Negotiations are under way with the World Bank on commercial contracts to assist the full project sanction process. In Côte d'Ivoire offshore block CI-
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103, the Paon-2A appraisal well started drilling on Oct. 24. Offshore Guinea, a 4,000-sq km (1,544sq mi) 3D survey has been acquired and the Fatala (ex-Eos) prospect will be drilled early next year. Off Gabon, Tullow's Crabe exploration well (KCM-1) in the Kiarsseny Marine license has been P&A'd as a dry hole. The rig has since moved to drill the Perroquet well (KPM-1) in the same block. Offshore neighboring Suriname, Tullow has acquired a 30% equity stake in block 31, and has reached agreement with Repsol to take a 30% interest in the newly defined Kanuku block offshore Guyana, pending government approval.
Orient Energy Review Dec. 2013
ENERGY FINANCE
Nigerian Content Fund hits $350m
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he Nigerian Content Development Fund has grown to $350m and is now being accessed by Nigerian service companies. The Executive Secretary, Nigerian Content Development and Monitoring Board, Engr. Ernest Nwapa disclosed this at the 2013 Practical Nigerian Content Forum, organised by the CWC Group in conjuction with the NCDMB and the Bayelsa state Government, which held in Yenagoa, Bayelsa State. The Fund was established by the Nigerian Content Act and is pooled from 1 per cent of all contracts awarded in the upstream sector of the oil and gas industry for use in developing the supply chain and building local capacity in the industry. Seventy per cent of the pool is to be used to provide guarantees for single digit and longer tenure lending by banks and funding institutions to
Nigerian service companies seeking to acquire critical assets while thirty per cent will be applied for direct intervention by the Board in critical infrastructure development and training programs. Confirming that the fund has been accessed successfully by two Nigerian service companies, while some other companies are at various stages of processing their applications, the Executive Secretary said the Board was working with the Fund ManagersBGL to fine-tune the conditions to be met for prospective beneficiary companies so as to make it more accessible. “We are not satisfied with the level of access to the fund and we working to review the administration process.� He however, clarified that the delays emanated mostly from the processes in the banks and how the companies packaged their proposals, adding however, that some conditions were introduced to ensure that beneficiaries were serious service companies who had bankable plans. He underlined that the Board decidedly appointed a fund manager and constituted an Advisory Committee, which comprises representatives of international oil
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companies, Petroleum Technology Association of Nigeria, (PETAN), Oil and Gas Trainers Association of Nigeria (OGTAN) and Bank of Industry in an effort to create a structured and transparent process for accessing the funding. The current conditions require the benefitting company to tie-up an arrangement with its bank for a facility meant for financing the acquisition of assets and ensure that it draws down the loan and services it successfully. The Fund will then kick in to offset 50 per cent of the interest charged by the bank In his comments, the Contracting and Procurement Global Local Content Manager, Shell Exploration and Production International Ltd, Engr. Simbi Wabote advised the Board to publicize the procedures and requirements for accessing the NCDF and use feedback from the exercise to improve the administration process. He counselled against letting NCDF go the way of the moribund Nigerian Content Support Fund which was could not be accessed by any service company. Towards ensuring compliance by service companies, Wabote said the Board needed to revamp its monitoring process, noting that the Nigerian Content Act did not allow for non-compliance by local service companies. The two-day event was attended by over 400 delegates and featured presentations by industry experts and exhibitions by over 30 companies. The workshop is being managed by NCI which has been involved in organizing major conferences in Nigeria for about 14 years.
Orient Energy Review Dec. 2013