Oil & Gas

NCDMB Rallies NNPC, oil producers to boost in-country manufacturing of line pipes

Published

1 year ago

March 8, 2025

Editor

Stakeholders and captains of oil industry

By David Owei, Bayelsa

The Nigerian Content Development and Monitoring Board (NCDMB) on Thursday achieved a much-needed consensus among critical oil and gas industry stakeholders and manufacturers to ramp up in-country production and utilisation of line pipes in oil and gas operations, as part of the strategy deepen local content, and conserve foreign exchange and create jobs.
The Oil Producers Trade Section (OPTS), comprising all international oil companies, and their indigenous counterparts under the aegis of the Independent Petroleum Producers Group (IPPG) met with the leading pipe manufacturing companies and pipe coaters as well as the NNPC Upstream Investment Management Services (NUIMS) at the instance of the NCDMB to take stock of progress made since 2011.

In Opening Remarks at the one-day “Stakeholders Workshop on Manufacturing of Line Pipes in Nigeria: Processes, Challenges, and Opportunities,” which held at the Nigerian Content Tower (NCT), Yenagoa, the Executive Secretary of the NCDMB, Engr. Felix Omatsola Ogbe, described line pipes as “a major driver in oil and gas industry operations,” adding, “without line pipes you cannot evacuate products.”

He said the Nigerian Oil and Gas Industry Content Development (NOGICD) Act, 2010, envisages 100 per cent in-country manufacture of line pipes (seamless and welded pipes) and that the Board, in conjunction with the OPTS, had agreed on an initiative in 2011 to work towards attainment of that target.

The NCDMB boss noted that a lot still has to be done and that status reports of projects on line pipes would have to be presented and discussed at the workshop so as to determine appropriate measures by all stakeholders to intensify efforts to overcome teething problems if any.
Engr. Ogbe, represented by the Director of Monitoring and Evaluation, Alhaji Abdulmalik Halilu, disclosed that in realisation of the potential of in-country manufacture of line pipes for retention of significant revenue and job creation, the Board had introduced different policies and remains determined to work with industry players for meaningful progress.
In setting the tone for the workshop presentations and deliberations, he posed six questions to which he sought answers from the participants: Should we continue to focus on making line pipes in Nigeria? Where are we on the ‘Made in Nigeria’ line pipes projects? Are there still opportunities for Made-in-Nigeria line pipes? What should be the main considerations for ‘Made-in-Nigeria’ line pipes (infrastructure imperatives, investment incentives, etc.)? Who should invest and who are the buyers? What policies would drive the delivery of ‘Made-in-Nigeria’ line pipes?

In his own remarks, the Director, Capacity Building, NCDMB, Dr. Ama Ikuru, explained that the Board and the entire oil and gas industry are focused on Made-in-Nigeria line pipes, because it is “the key to Nigeria’s industrial development and a critical requirement of the NOGICD Act, 2010, and the Presidential Executive Order on Local Content.”

He noted that Made-in-Nigeria line pipes are a “reputation driver for the NOGICD Act” and are “central to the attainment of the 70 per cent objective of NCDMB’s [Nigerian Content] 10-Year Strategic Road Map.” In addition, the initiative would reduce costs and eliminate mark-up by middlemen.
Dr. Ikuru pointed out that there are major oil discoveries across Africa as well as opportunities in Nigeria and other parts of the continent, supported by the African Continental Free Trade Area (AfCFTA). Line pipe opportunities in Africa highlighted include the Trans-Saharan Gas Pipeline, African Renaissance Pipeline and Transmed Gas Pipeline.

On interventions by the NCDMB toward establishment of pipe mills in the country, he said the Board, among other things, introduced the Equipment Component Manufacturing Initiative (ECMI) and issued guidelines on it, which “birthed issuance of the Nigerian Content Equipment Certificate (NCEC).”
The NCEC scheme of the Board is designed to promote and enforce the utilisation of locally manufactured goods, services, and equipment in the oil and gas industry.

Before presentations by key manufacturers of line pipes, representatives of the leading IOCs and Independents, all industry holders in attendance had to state their individual responses and viewpoints regarding the six posers earlier raised by the NCDMB Executive Secretary.

In unison, all declared that Nigeria should continue to focus on making line pipes in-country to meet the target of 100 per cent. Key manufacturers then proceeded to explain where they are in their respective projects, highlighting status reports as well as challenges (in some cases), and what should be main considerations.

The Managing Director, Brentex Petroleum Services Limited, Mr. Chidi Nzerem, disclosed that his company has made appreciable progress in developing an LSAW Line Pipe Mill in Calabar, Cross River State, but has faced difficulties in securing long-term funding from the banks after investing over US$64 million. To take the project to completion stage, an additional US$176 million would be required.
He pointed out that “Nigeria sits on oil and gas and there must be commitment to manufacture line pipes” to eliminate capital flight through importation of pipes. He assured stakeholders that “within the next 36 months, line pipes will start rolling out from the mill if the required funds become available.”
For another industry player, Frigate Pipe and Tubulars Limited, whose seamless pipe mill plant has progressed without hiccups, status report was that the bulk of the manufacturing line has been acquired and that installation of the facility would be completed within the next 24 months.
The Chief Financial Officer of the company, Mr. Bankole Olugbile, said industry demand for seamless line pipes in Nigeria is 120,000 metric tonnes per annum, which could be easily met, but he pointed out that “projects like this require long-term cheap funding.” He called for incentives, such as pioneer status, among others, from government.
From Yulong Steel Pipes Limited, a pioneer in the industry that had suspended production operations in Nigeria for five years after supply of 2,000 metric tonnes of line pipes to Dangote Refinery, Lekki, Lagos, was news of its reentry into the country. Its representative declared that the company is looking forward to business from Trans-Saharan Gas Pipeline and Shell Petroleum Development Company’s Bonga North, among others.
Pipe coating companies, including Solewant Group, Monarch Alloy, and Tenaris, also gave their respective status reports and highlighted what they expect from oil and gas industry operators.
International oil companies affirmed that there are opportunities for Made-in-Nigeria line pipes and expressed keenness to do business with manufacturers in the country. Mrs. Chioma Okpoechi, Supply Chain Manager (Production and Logistics) of Shell Petroleum Development Company, provided procurement data on line pipes from her company indicating that US$43 million was spent between 2019 and 2014.

According to her, “steadily our operational requirements are growing” and that US$115 million is to be spent in the next four years. Mrs. Okpoechi expressed hope that “this should encourage Made-in-Nigeria manufacturers,” although she cautioned that quality and timeliness of delivery cannot be compromised.
Assurances were also received from Exxon Mobil, which urged local manufacturers to strive for cost competitiveness and ensuring that they understand what the oil and gas industry upstream needs. TotalEnergies also gave assurance of support for local manufacture.

Seplat Energy Plc, a leading Independent operator from among the indigenous upstream players, represented by its Nigerian Content Development Manager, Mr. Simeon Ogari, declared “We are 100 per cent in support of Made-in-Nigeria line pipes,” stating that the company is “a product of local content.” Another leading indigenous oil company, First Exploration & Production (First E&P), represented by its Project Manager, Engr. Soyemi Ayodeji, also pledged total support.

In rounding off presentations and deliberations, Dr. Ikuru, reminded participants that responsibilities for advancement of the programme for Made-in-Nigeria line pipes needed to be assigned.
Manufacturers commended NCDMB for its practical role as business enabler, citing a number of the Board’s interventions that have facilitated the emergence of many big indigenous companies, but said the Board could do more by helping to eliminate illegal importation of coated line pipes, particularly by marginal field operators. Also that the Board should play a role in facilitating access of manufacturers to credit facilities from banks.
Dr. Ikuru acknowledged that the suggestions made were appropriate but advised that the manufacturers could employ whistleblowing as a way to bring such illegal importation to the knowledge of the Board and Government. “We’ll follow up,” he assured.

Also contributing, the Director, Project Certification and Authorisation Department (PICAD), of NCDMB, Engr. Abayomi Bamidele, said the Customs and Excise Department has a role to play, and that manufacturers and coaters of line pipes could team up and prepare a draft bill, which should be submitted to the National Assembly for a law to bring in the Customs Department to play a role.
The NCDMB and all stakeholders agreed that platforms like the Stakeholders Workshop should hold regularly, and that it would be desirable for similar platforms where financial institutions could participate, given the critical importance of funding.

Related Topics:Consensus manufacturers Stakeholders strategic

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Oil & Gas

A’Ibom Extractive Justice Alliance demands Gas Flaring Accountability,-says failure of compliance will attract stiff protest

Published

14 hours ago

June 5, 2026

Editor

‎By Emmanuel Ikpe, Uyo
‎
‎Coalition of civil society organizations, youth groups, community advocates, academic scholars and media in Akwa Ibom have petitioned the Nigerian Upstream Petroleum Regulatory Commission to address cases where corporate organizations are profiting from Gas flaring and pollution while host communities bear the cost.
‎
‎Addressing journalists just after a peaceful demonstration and presentation of the petition letter to representative of Nigerian Upstream Petroleum Regulatory Commission in Eket, Eket LGA on Friday by Network Advancement Program for Poverty and Disaster Risk Reward,Helen Bassey Eyo, the coalition which was convened by Clement Isong Foundation with support from Actionaid Nigeria under the Strategic Partnership Agreement (SPA) II, says the exercise was part of activities to commemorate the 2026 World Environmental Day with a call to end gas flaring, defend rights and build future.
‎
‎According to them, Gas flaring penalties exceeding $10.4 million dollars became payable on OML 13 alone between 2021 and 2023. They therefore called for accountability of $270 million dollars in outstanding penalties owed to host communities from 2021 to 2025. “nationally, oil companies paid $646 million dollars in Gas flare penalties in 2025, the highest in five years, yet Nigeria flared 301.3 million scf of Gas in 2024, up from 278.3 million in 2023, and did not meet its 2025 zero-flare target”.
‎
‎The Akwa Ibom Extractive Justice Alliance noted that in communities like Ikot Town, Elekpon and Atabrikang in Eastern Obolo LGA of the State Gas has been burning continuously since NEPL/NOL began production on OML 13 in May 2024. Eight villages in Eastern Obolo have no electricity yet OML 13 holds over five trillion cubic feet of Gas. The energy being burned over these communities could instead be used to power them.
‎
‎Speaking to newsmen, the Director, Clement Isong Foundation, convener of Akwa Ibom Extractive Justice Alliance on behalf of the 15 CSOs including academia, media, women and youths groups noted that in Ibeno LGA of the State, Network Exploration and Production Limited continues to flare gas at Mkpanak with documented impact on air, water and soil across Ibeno, Onna, Eket and Esit Eket. “rain water in Ibeno is no longer consumable, Itakabasi community has been lost to coastal erosion accelerated by environmental degradation. Seplat Energy which acquired Mobil Production Nigeria Unlimited from ExxonMobil in December 2024, now operates OMLs 67, 68, 68 and 104 in Akwa Ibom, inheriting an operational history that includes over fifty years of environmental liabilities that coastal communities are still waiting to see them addressed”, they added.
‎
‎Accordingly, the alliance have asked President Tinubu to reverse the presidential executive order 9 of February 13, 2026 which suspended all Gas flare penalties remittance into the Midstream and Downstream Gas Infrastructure Fund and and redirected them to the Federation Account. “the Order 9 has remove a financing mechanism established under the PIA 2021 specifically to support environmental remediation and community development in host communities. AKEJA is calling for this to be reversed and for the original framework to be restored”.
‎
‎Meanwhile, the Civil Society Organizations have stated that if their demands are not met as at when due, they will pull out all their members to protest to the office the Nigerian Upstream Petroleum Regulatory Commission with stiff penalties to ensure their plights are giving desire attention.

‎

Oil & Gas

‎A’Ibom Extractive Justice Alliance demands Gas flaring accountability, community justice, reversal of executive order 9 ‎- says failure of compliance will attract stiff protest ‎By Emmanuel Ikpe, Uyo ‎ ‎Coalition of civil society organizations, youth groups, community advocates, academic scholars and media in Akwa Ibom have petitioned the Nigerian Upstream Petroleum Regulatory Commission to address cases where corporate organizations are profiting from Gas flaring and pollution while host communities bear the cost. ‎ ‎Addressing journalists just after a peaceful demonstration and presentation of the petition letter to representative of Nigerian Upstream Petroleum Regulatory Commission in Eket, Eket LGA on Friday by Network Advancement Program for Poverty and Disaster Risk Reward,Helen Bassey Eyo, the coalition which was convened by Clement Isong Foundation with support from Actionaid Nigeria under the Strategic Partnership Agreement (SPA) II, says the exercise was part of activities to commemorate the 2026 World Environmental Day with a call to end gas flaring, defend rights and build future. ‎ ‎According to them, Gas flaring penalties exceeding $10.4 million dollars became payable on OML 13 alone between 2021 and 2023. They therefore called for accountability of $270 million dollars in outstanding penalties owed to host communities from 2021 to 2025. “nationally, oil companies paid $646 million dollars in Gas flare penalties in 2025, the highest in five years, yet Nigeria flared 301.3 million scf of Gas in 2024, up from 278.3 million in 2023, and did not meet its 2025 zero-flare target”. ‎ ‎The Akwa Ibom Extractive Justice Alliance noted that in communities like Ikot Town, Elekpon and Atabrikang in Eastern Obolo LGA of the State Gas has been burning continuously since NEPL/NOL began production on OML 13 in May 2024. Eight villages in Eastern Obolo have no electricity yet OML 13 holds over five trillion cubic feet of Gas. The energy being burned over these communities could instead be used to power them. ‎ ‎Speaking to newsmen, the Director, Clement Isong Foundation, convener of Akwa Ibom Extractive Justice Alliance on behalf of the 15 CSOs including academia, media, women and youths groups noted that in Ibeno LGA of the State, Network Exploration and Production Limited continues to flare gas at Mkpanak with documented impact on air, water and soil across Ibeno, Onna, Eket and Esit Eket. “rain water in Ibeno is no longer consumable, Itakabasi community has been lost to coastal erosion accelerated by environmental degradation. Seplat Energy which acquired Mobil Production Nigeria Unlimited from ExxonMobil in December 2024, now operates OMLs 67, 68, 68 and 104 in Akwa Ibom, inheriting an operational history that includes over fifty years of environmental liabilities that coastal communities are still waiting to see them addressed”, they added. ‎ ‎Accordingly, the alliance have asked President Tinubu to reverse the presidential executive order 9 of February 13, 2026 which suspended all Gas flare penalties remittance into the Midstream and Downstream Gas Infrastructure Fund and and redirected them to the Federation Account. “the Order 9 has remove a financing mechanism established under the PIA 2021 specifically to support environmental remediation and community development in host communities. AKEJA is calling for this to be reversed and for the original framework to be restored”. ‎ ‎Meanwhile, the Civil Society Organizations have stated that if their demands are not met as at when due, they will pull out all their members to protest to the office the Nigerian Upstream Petroleum Regulatory Commission with stiff penalties to ensure their plights are giving desire attention. ‎ ‎ ‎

Published

14 hours ago

June 5, 2026

Editor

‎
‎
‎

Oil & Gas

Niger Delta Communities Demand End to Gas Flaring, Advocate Renewable Energy Shift

Published

4 days ago

June 2, 2026

Editor

civil society representatives, and traditional rulers, Barr. Mrs. Comfort Uche Agumagu, the woman leader of Oromeruezimgbu Community in Rivers State

By David Owei,Bayelsa

Stakeholders of some Niger Delta communities have added their voices to the growing calls for the end to gas flaring in Nigeria.

The stakeholders who are from communities affected by environmental pollution and degradation are also advocating renewable energy as an alternative to fossil fuels.

The communities made their position known at Global Week of Action,
organized by the Quest for Growth and Development Foundation under the theme “Kick the Polluters Out”, held in Port Harcourt Rivers State at the weekend.

Speaking at the town hall meeting, which brought together community leaders, civil society representatives, and traditional rulers, Barr. Mrs. Comfort Uche Agumagu, the woman leader of Oromeruezimgbu Community in Rivers State called on the government to accelerate the shift to renewable energy.

She demanded responsible environmental practices from oil multinationals who she blamed for extensive pollution of the environment.

She said; “I have learnt the harmful effect of pollution, especially gas flaring. Most of us were not aware of these things.

“Proper sensitization should be done so that the public will be fully aware of the dangers.”

Mrs. Agumagu issued a strong call to the Rivers State House of Assembly to prepare a bill that would ensure proper cleanup of other communities beyond Ogoni land and hold polluters accountable.

She commended Quest for Growth and Development Foundation for the sensitization programme, admitting that many residents had been living with the dangers of pollution without knowing it.

Mr. Chukwudi Ebony Johnson, a representative of ONELGA (Ogba–Egbema–Ndoni Local Government Area), praised the organisers while urging them to take the campaign to a higher level.

“I want to encourage the organisers to extend this programme to the state government,” Johnson said, signaling the need for policy-level engagement with Governor Siminalayi Fubara’s administration.

Royal Chief Ambassador Magnus, the paramount ruler of Erewa village and a stakeholder in Gokana Local Government Area, commended the Hydrocarbon Pollution Remediation Project (HYPREP) and the government for their efforts in Ogoni land.

“I commend HYPREP for taking their time to do what is right for the Ogoni people,” he said.

He however advised the government on a fundamental shift.

“I want also to advise government on the switch from fossil fuels to renewable energy to avoid further damage on the environment,” Chief Magnu stated.

Coordinator of the Quest for Growth and Development Foundation, Mr. Smith Nwokocha, explained the rationale behind the town hall meeting, stressing that community voices must not be silenced.

“The main purpose of the town hall meeting is to ensure that the voices of common people are heard in holding polluters accountable.

“The multinationals and government have a duty to protect the oil host communities from damage to their health and livelihoods,” Nwokocha said.

He reiterated the foundation’s position on energy policy, calling for a decisive break from fossil fuel dependency.

“We are calling on the government that instead of constant oil drilling and gas flaring, there is an alternative source of energy – which is renewable energy.

“It is safer for the environment, and they should invest in it for the betterment of the people.”

The Global Week of Action is an annual mobilisation coordinated by civil society groups worldwide to demand climate justice and corporate accountability.

Rivers State, the heart of Nigeria’s oil industry, has long suffered from gas flaring, oil spills, and environmental pollution, with communities in Ogoni, ONELGA, and other local government areas bearing the brunt of decades of extraction without adequate remediation.

While the Ogoni cleanup under HYPREP has made some progress, speakers at the event argued that neighbouring communities remain neglected and demand a comprehensive, statewide approach to environmental restoration.

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NCDMB Rallies NNPC, oil producers to boost in-country manufacturing of line pipes

Oil & Gas

NCDMB Rallies NNPC, oil producers to boost in-country manufacturing of line pipes

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Oil & Gas

A’Ibom Extractive Justice Alliance demands Gas Flaring Accountability,-says failure of compliance will attract stiff protest

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