Connect with us

Oil & Gas

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

Published

on

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.

Oil & Gas

Nembe communities report underwater pipeline leak at OML 29 oilfields in Bayelsa

Published

on

By

By David Owei

The Nembe communities at Okpoama and Ikensi in Brass and Nembe Local Government Areas (LGAs) respectively have bemoaned recent oil leaks and subsequent pollution from Oil Mining Lease (OML 29) oilfields.

It was learnt that the oil leak from an underwater pipeline at Ikensi was discovered on Thursday by residents who raised concerns over negative impact of the spill on the environment.

The ongoing underwater crude oil pipeline leakage near Ikensi community, was noticed at about 6.45 am on Thursday and reported to the operator of f the oilfield.

Both officials of the oil firm and oil spill regulator confirmed the incident but said that they were working on an official statement to be issued in due course but yet to d9 so.

OML 29 is operated by Nembe Explorationwnd Production Ltd formerly Aiteo Eastern Exploration and Production Limited.

Chief Clarkson Obiakpa, a Chief of Opu Nembe
explained that community residents who first detected the leak report that crude oil is actively discharging crude into surrounding waterways with no visible containment or emergency response deployed at the time of reporting, raising immediate fears of widespread ecological contamination and threats to fishing-based livelihoods.

“The spill was discovered early on Thursday morning around 6:45 am. Crude oil is still flowing into our waterways. No response team has arrived.

“Our rivers, fishing grounds, and drinking sources are already being affected. We are deeply concerned about our survival and livelihood.” Obiakpa said.

He recalled that this latest incident comes shortly after a marine vessel spill on the Atlantic coastline, affecting Okpoama, Diema and Twon-Brass in the neighbouring Brass LGA, where large volumes of crude oil reportedly escaped into surrounding waterways during a transshipment operation between a vessel and a tanker.

According to Chief Edwin Otiete-Goli, a community leader: “This spill has devastated our waters and our means of livelihood. Our fishing grounds are polluted, and our ecosystem is under serious threat. We call for immediate accountability, full remediation, and justice for our people who depend entirely on these waters for survival.”

Aiteo acquired the OML 29 field and the 97 kilometer Nembe Creek Trunk Line (NCTL) for $ 2.4 billion in 2015 following divestment by Shell Petroleum Development Company (SPDC)

The operator of the OML 29 oil block discarded the NCTL which hitherto evacuated crude to the Bonny Export Terminal due to oil theft and vandalism and resorted use of barged and small vessels to translated and oil to a Floating Production Storage and Offloading (FPSO) for export.

This development, an interim operational plan pending linking the oil wells via pipelines to the FPSO has been fraught with frequent operational leaks from transloading of crude to the FPSO

When contacted for a response, on Thursday evening, a Public Affairs Official at the oil firm, Nembe E & P said the company was working on a statement.

“An official statement will be sent soon,” he said.

Continue Reading

Oil & Gas

Fuel Price Hike: A Brutal Economic Assault on Nigerians- HURIWA demands immediate Presidential Action

Published

on

By

By George Mgbeleke

The Human Rights Writers Association of Nigeria (HURIWA) issues this hard-hitting and unequivocal condemnation of the latest increase in petrol prices across Nigeria, describing it as a cruel, insensitive, and economically destructive decision that has further weaponized poverty against already suffering citizens.

In a statement signed by National Coordinator,HURIWA,Comrade Emmanuel Nnadozie Onwubiko,” the abrupt hike in petrol prices—triggered by Dangote Refinery’s increase of gantry price by ₦75 per liter and swiftly mirrored by filling stations now selling between ₦1,365 and ₦1,370 per liter in Abuja—represents nothing short of an economic ambush on Nigerians. It is a calculated economic exploitation and hemorrhage unleashed on the impoverished and massively deprived citizens who also seems to have lost the sense of national outrage legally demonstrated through pteaceful protests against this attempt to send millionsbof households into unmitigated absolute poverty in addition to the 130 million absolutely impoverished households.

“Within hours, marketers adjusted their pumps upward, confirming the absence of any meaningful regulatory safeguards to protect the public from coordinated exploitation.

“This development is not just another price increase; it is a direct attack on the survival of millions. Nigerians are already suffocating under the weight of a catastrophic cost-of-living crisis, with food prices, transportation costs, electricity tariffs, and basic commodities skyrocketing beyond reach. This latest fuel hike will multiply suffering, deepen hunger, and accelerate the collapse of fragile livelihoods across the country.”

Continuing HURIWA warned that the consequences will be immediate and devastating. “Millions of small businesses—the backbone of Nigeria’s informal economy—are now on the brink of extinction. Barbing salons, welding workshops, small-scale manufacturers, transport operators, and countless petty traders who depend on petrol for daily operations will be forced to shut down. This will trigger a dangerous surge in unemployment, particularly among youths and women, thereby worsening social instability and insecurity.

“It is both shocking and unacceptable that Nigeria, a leading crude oil-producing nation, has become a global symbol of energy injustice, where citizens pay exorbitant prices for a resource their country abundantly produces. The justification being pushed—rising crude oil prices linked to tensions in the Middle East—is not only weak but fundamentally dishonest. Countries directly affected by these tensions have not imposed such punishing fuel costs on their citizens, yet Nigerians are being forced to bear the brunt of global volatility without any form of protection.”

HURIWA strongly condemns Dangote Refinery for what appears to be an opportunistic and calculated exploitation of international geopolitical tensions as a convenient excuse to increase prices. “The timing and scale of this hike raise serious questions about market fairness, transparency, and the dangerous emergence of monopolistic tendencies in Nigeria’s downstream petroleum sector.

“Equally disturbing is the apparent silence and inaction of the Federal Government. The failure to regulate, moderate, or even respond decisively to these relentless price hikes sends a troubling message that the suffering of Nigerians is no longer a priority. This perception of indifference is fueling anger, frustration, and a growing loss of public trust.

“We therefore demand immediate and decisive intervention by President Bola Ahmed Tinubu to halt this reckless escalation of petrol prices. The government must urgently implement price stabilization mechanisms, enforce strict regulatory oversight, and ensure that no private entity is allowed to exploit Nigerians under the guise of market forces.

“Furthermore, HURIWA calls for a transparent audit of pricing structures within the petroleum sector and the establishment of policies that prioritize the welfare of citizens over corporate profit.

“Nigeria stands at a dangerous tipping point. The continuation of these harsh policies will not only wipe out businesses but will plunge millions further into poverty and despair. The government now faces a stark choice: defend the welfare of its citizens or remain complicit in the deepening hardship they endure. The time for silence is over. The time for action is now.”

Continue Reading

Oil & Gas

Waltersmith showcases expanded refinery to NCDMB, NMDPRA …plans for condensate refinery, industrial park

Published

on

By

By David Owei

The Executive Secretary NCDMB, Engr. Felix Omatsola Ogbe on Thursday joined the Authority Chief Executive (ACE) of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Mr. Saidu Mohammed, to visit the Waltersmith modular refinery at Ohaji- Egbema, Imo State.
The visit was to inspect the newly completed expansion of the firm’s refining capacity, from 5,000 barrels per day (bpd) to 10,000 bpd.
NCDMB invested equity in the Waltersmith Refining and Petrochemical Company Limited’s modular refinery in 2018 and helped catalyze the investment, leading to the commissioning of the first phase of the plant in November 2020.
NCDMB also participated in the expansion, which is now completed and operational, producing AGO (diesel), Household kerosine (HHK), HFO (Heavy Fuel Oil) and Naphtha.
The refinery has to date supplied over 1.1 billion litres of refined products to local and regional markets, helping to strengthen Nigeria’s and West Africa’s energy security and contributing immensely to the national economy. The refinery supplies most of its products to the South-East and South-South parts of the country, while the HFO gets to West African sub-region.
The Director Legal Services NCDMB, Dr Naboth Onyesoh represented the Executive Secretary and conveyed the Board’s delight at the success of Waltersmith modular refinery. He described the firm as a model in local content implementation, especially in direct and in-direct job creation, capital retention, industrialization, import substitution and value addition to crude oil and gas resources.
Mr. Abdulrazak Isa, Chairman of Waltersmith Petroman, said the visit was organised to showcase the completed facility to NMDPRA’s new leadership and its partner, NCDMB and unveil its next developmental phase. He said the company had grown from owning one oil field at inception three decades ago, to expanding to several fields, including owning stakes in Renaissance Africa Energy Ltd, which acquired the entire assets of Shell Petroleum Development Company of Nigeria (SPDC) in March 2025.
He further announced the firm’s plan to commence two further phases of expansion, which will include the construction of 30,000 barrels per day condensate refinery and an industry park, which will accommodate other gas based firms. He said the firm will develop a gas line that will deliver 100 million standard cubic feet of gas per day, and provide an embedded captive power, to attract industries to co-locate in the industrial park.
Plans are afoot to conclude the partnership agreement for the condensate refinery by the 4th quarter of 2026 he said, adding that feedstock for the integrated expansions will come from the Ibigwe and Assa fields, as well as from nearby fields.
The Chairman underlined the company’s determination to invest in the petrochemical sector, leveraging on its access to gas and Naphtha, noting that the petrochemical industry is a key enabler of the economy.
He sought approvals from the NMDRA for the various stages of the upcoming developments.
The Authority Chief Executive expressed his delight at the success of the facility and promised the agency’s support to the company’s expansion plans.
He said the midstream sector of the petroleum industry holds the key to the nation’s economic development, adding that the establishment of such projects is the dream of every administration.
He described Waltersmith as an octopus in the midstream sector and challenged the company to hasten the development of the condensate refinery.
Mohammed also commended NCDMB for partnering with Waltersmith to develop the project, which had become a run-away success.

Continue Reading

Latest

Religion1 day ago

Mother’s Day:Mothers should place absolute Trust in God to pass through difficult challenges -Very Rev Fr Dim(OCD)

By Ignatius Okorocha The Christian Mothers of Christ the King Catholic Church(CKC) Kurudu in Abuja Archdiocese celebrated this year’s Mothers...

Opinion1 day ago

World Bank’s N34.53tri Revenue Diversion Revelation Confirms Existence of Shadow Govt’s Financial System-HURIWA demands immediate Criminal investigation

By George Mgbeleke The Human Rights Writers Association of Nigeria (HURIWA) has reacted with outrage, shock and deep national concern...

Politics1 day ago

Inauguration of INC National Executive outside Yenagoa, Jerusalem of Ijaw Nation without approval from CITRE is Sacrilege, says Nengi James

By David Owei, Yenagoa The outgoing National Vice President II, of the Ijaw National Congress, INC, Chief Nengi James described...

Religion1 day ago

Hajj: Nigeria airlifts 70% of registered pilgrims to Saudi Arabia

By Abdul-Ganiyy Akanbi Nigeria has airlifted about 70% of its registered pilgrims for the 2026 Hajj, with operations continuing smoothly...

Law & Crime1 day ago

Expert lauds Tinubu’s homeland security appointment, suggests role swap with Ribadu

By Abdul-Ganiyy Akanbi Security expert and executive protection specialist, Dr. Jackson Lekan Ojo has commended President Bola Tinubu for creating...

General News2 days ago

FG unveils Unified Education Data Platform to tackle out-of-school crisis and embed entrepreneurship in tertiary institutions

By Our Correspondent In abid to embed entrepreneurship training in the nation’s educational system,the Federal Government has moved to put...

Politics2 days ago

Wike blasts Gov Makinde ‘Political 419’ Over Alleged PDP-APM Alliance, …..Saying he is spreading falsehood

By Our Correspondent As preparations for 2027 election draw close,Minister of the Federal Capital Territory, Barr Nyesom Wike has brushed...

Politics2 days ago

Uwazuruike begs Trump to divide Nigeria into 6 zones …as MASSOB prepares for 22nd May anniversary

By Our Correspondent As the Movement for Actualization of Sovereign State of Biafra,(MASSOB),prepares for its 22nd May anniversary,it’s Founder and...

Opinion2 days ago

FULANI TERRORISTS attack on FUTO: HURIWA asks Hope Uzodinma to step down, face partisan politics and let his deputy govern Imo State*

By George Mgbeleke Following the daredevil terrorist attack launched on Wednesday’s night targeting stidents living in the hostels of the...

Politics2 days ago

FUBARA: Over 6,800 Families Benefit from Renewed Hope Initiative in Rivers State

By George Mgbeleke Wife of the Governor of Rivers State, Lady Valerie Siminalayi Fubara has disclosed that about 6,800 families...

Trending