NCDMB Finds Only 18 Local Firms Qualified to Manufacture Oil, Gas Equipment

By Adedapo Adesanya

The Nigerian Content Development and Monitoring Board (NCDMB) has identified limited technical and manufacturing capacity among indigenous companies as a major obstacle to local production of critical oil and gas equipment, with only 18 of about 60 firms assessed meeting the required criteria.

The finding has prompted renewed efforts by the board and industry stakeholders to strengthen domestic manufacturing and reduce Nigeria’s reliance on imported equipment for oil and gas operations.

The Assistant Manager, Institutional Strengthening, Capacity Building Directorate of the NCDMB, Mr Nander Salmwang, disclosed this at a stakeholders’ meeting in Port Harcourt, Rivers State, where industry players examined strategies for implementing recommendations from a study on local production of critical oil and gas components.

The initiative focuses on equipment and components such as pumps, valves, flanges, gaskets, bolts and nuts, metering solutions and instrument fittings, which are essential to oil and gas operations and account for a significant portion of industry operating and capital expenditure.

Speaking on the initiative, the NCDMB Executive Secretary, Mr Felix Ogbe, represented by the General Manager, Institutional Development, Capacity Building Directorate, Mr Olugbenga Sheba, said improving local manufacturing would strengthen indigenous businesses, enhance technical expertise and retain more value within Nigeria’s oil and gas industry.

He said the programme aligns with the Board’s 10-year strategic roadmap, which targets 70 per cent Nigerian content by 2027.

According to him, implementing the study’s recommendations would help address skills shortages, technological deficiencies and constraints limiting the capacity of indigenous manufacturers to produce critical equipment locally.

The Board identified infrastructure development, structured capacity building, access to finance, strategic partnerships, and stronger monitoring and enforcement as key measures required to close the identified gaps.

Mr Sheba called on indigenous manufacturers, oil and gas operators, service companies, financial institutions and other stakeholders to collaborate in building sustainable domestic manufacturing capacity.

He also cited the Nigerian Oil and Gas Industry Content Development Act 2010, which provides for first consideration for Nigerian goods and services, as the legal framework supporting increased local participation in the industry’s supply chain.