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Tag: Simbi Wabote

  • Samsung has transformed Nigeria into FPSO construction hub – NCDMB

    Korean shipbuilding giant, Samsung Heavy Industries (SHI) has transformed Nigeria into a hub for fabrication and integration of Floating Production Storage Offloading (FPSO) unit in Africa, the Nigerian Content Development and Monitoring Board (NCDMB) has declared.

    Speaking to reporters in Lagos on the local content milestones in the oil and gas industry, Executive Secretary of NCDMB, Simbi Wabote, stated the massive investment of SHI in Lagos is a major breakthrough in the implementation of local content in Nigeria.

    Wabote said the successful construction and local integration of the Egina FPSO in the company’s fabrication yard in Lagos was a key success story in the Nigerian content initiative.

    “Under the local content implementation we have seen a major breakthrough with the massive investment by Samsung in Lagos.

    “The successful construction and integration of the FPSO for the Egina project is worthy of mention, and this is a key success story and going forward this singular asset will bring about massive revenue to the country as we expect other African countries to take advantage of this facility than going outside the shores of the continent for FPSO construction,” Wabote explained.

    “Samsung has proved to have efficiently transformed the country into FPSO construction hub, and recall we were doing this in Korea before now,” he stressed.

    The Korean giant set a new record on Nigerian content when it successful completed the FPSO unit, the largest floating oil platform in the world and also achieved its first oil in the facility.

    Read Also: Samsung launches first 5G network smartphone

    A number of records were broken during construction with the project becoming first ever project to meet Nigeria’s demanding new standards for local content as attested to by the NCDMB.

    For instance, out of the 18 modules in the Egina, six modules were fabricated in the various fabrication yards across the country, and integrated locally in the company’s yard in Lagos, unlike the previous FPSOs, which were all fabricated and integrated outside the country.

    The Korean firm declared during the construction phase, “Nigerian parts and expertise were even flown to Samsung’s headquarters in Korea to be installed in the early stages of construction of the Egina before it was sailed to Lagos for final construction.

    “This success story has been made possible through Samsung Heavy Industries’ belief in the potential of Nigerian companies and workers to deliver to their tough, exacting standards.

    “Over 9.7 million hours of time have been spent by the Nigerian workforce with over 6,000 Nigerians in employment on the project at its peak via Samsung and its partners and subcontractors.

    “Perhaps even more exciting than this direct opportunity for the best companies and workers is the potential it opens up for the country as a whole.

    “As we all know, the oil and gas industry is growing across the whole of Africa and that means many more floating oil platforms and other pieces of large equipment need to be repaired, maintained and built,” the company said.

    Before Samsung’s fabrication and integration yard (known as the SHI-MCI yard) was completed, the only choice was to complete this work outside of Africa, removing opportunity and investment from Nigeria’s shores.

    During the sail away of the FPSO to its final offshore location, theCountry Chair and Managing Director of Total E&P Nigeria Limited, Mr. Nicolas Terraz, had noted with the successful integration of the six locally fabricated modules at the SHI-MCI Yard, Total had changed how deep offshore oil and gas projects were executed in the country and set new records for Nigerian Content

    Terraz, who also added Egina made history as the first FPSO unit to berth at an integration quay in Africa for installation of six topside modules that were fabricated in Nigeria, stressed that during the seven months that the FPSO spent at the yard in Lagos, SHI completed eight million man-hours without any Lost Time Injury.

     

  • WAV, STG settle years of rift, sign settlement agreement

    …NCDMB, NAPIMS mediate

     

    Sea Trucks Group Limited (STG) a British Virgin Island company and West African Ventures Limited (WAV), a 100% Nigerian company were engaged in a protracted commercial dispute. This resulted in several court and arbitration actions in Nigeria and outside Nigeria. However, the Nigerian Content Development and Monitoring Board (NCDMB) and the National Petroleum Investment Management Services (NAPIMS) encouraged a commercial settlement rather than a legal resolution between the parties.

    Following a period of extended negotiations, both WAV and STG were able to reach a binding settlement agreement on the 13th of November 2018. The settlement agreement resolved all disputes between the parties and provided for an agreed allocation of vessels, which were previously disputed by both parties. The settlement agreement provided for satisfaction of limited conditions, which were successfully achieved on 1st February 2019, thereby bringing the settlement agreement to a conclusion.

    The settlement would have been improbable without the personal involvement of the able Executive Secretary of NCDMB, Mr. Simbi Wabote as well as NAPIMS. The ceremony of 12th February 2019 therefore formalises the completion of this settlement agreement.

    The Executive Secretary of NCDMB, Mr. Simbi Wabote who chaired the signing ceremony commended the amicable resolution, saying it is a win-win for the two companies and the oil and gas industry.

    He said: “In every business endeavour, there are disagreements and individual interests but the most important thing is having the mindset to settle through dialogue rather than getting through legal tussle that will last for a very long time that will create a lose-lose  for everybody. So, if businesses see people with integrity and reputation they want to bring in to enable them settle any of their rift, they should bring those people in and be able to sit round the table and iron out their individual differences rather than resorting to legal battles that will last forever. So, my advice to businesses that are in conflict is to create the opportunity to dialogue because for every problem there is solution.

    Read Also: Bindow, deputy deny rift

    “The significance of the peace agreement and decision to work together amicably going forward is to correct the impression outside the country where people believe that coming to invest in Nigeria as an international business will only leave you to lose your investment and assets. This shows we can amicably resolve our issues. Any foreign investor who wants to come here has a mechanism for dispute resolution, which this agreement has shown that it could work. STG is an international company while WAV is a local company, they had issues but they got the services of NCDMB and NAPIMS and other mediators to be able to resolve it. So, there exists in the country mechanism to resolve issues like this between international and local company. The message out there is that you come and invest here you probably lose your investment because you will not be protected but be assured that regulatory agencies such as NCDMB will protect investments that come into this country.”

    The Managing Director of WAV, Mr. Michael Dumbi Amaeshike said: “The agreement brought great relief because West African Ventures Limited is vital to the oil and gas industry. It has always provided marine services to the industry and it is the number one marine service company. In the past two and halve years, it has been difficult to provide those services and the industry has been impacted by this dispute. Therefore, to be here today and to signal an end to that dispute is very significant to me and the oil and gas industry.”

    The Chief Executive Officer of Telford Offshore, the representative of STG, Mr. Frase Moore said the amicable resolution of the dispute is significant to the industry and promised that the two firms will promote local content and capacity development.

    With the achievement of this settlement, WAV remains poised to continue as the leading indigenous provider of offshore engineering, procurement, fabrication, installation and vessel charter services in Nigeria.

    WAV, 100 per cent owned Nigerian company, has significant investment in Nigeria including its corporate headquarters in Lagos, Marine Support Base and Shipyard at Warri, as well as its Dry Dock and Fabrication facilities in Onne Oil & Gas Free Zone, Onne, Rivers State. With the continuous support of the NCDMB and NAPIMS, WAV is equipped to continue to deliver first class marine project and charter services to the Nigerian oil and gas industry.

     

     

  • Wofai Samuel chairs Oil, Gas & Energy infrastructure summit in Kenya

    The Ministry of Petroleum Kenya, and a host of other African Governments, Multilateral Economic Blocks / International Development Agencies and Energy professionals, assembled in Nairobi, Kenya,  for the 2018 edition of Sub – Saharan Africa Oil, Gas and Energy Infrastructure summit (SSAOGES) to further the conversation on the future of energy infrastructure in Sub -Saharan Africa.
    Held at the Safari Park and Casino Hotel in Nairobi, the summit gathered Africa’s renowned Oil, Gas & Power Industry Professionals , many of them Long Standing Investors , Entrepreneurs and Policy Makers from various countries, including Morocco, Pakistan , Nigeria, Cameroon, Kenya, Ecowas, Rwanda to name a few.
    The Two Day Summit, started with a welcome address by Oladeji Olawale, CEO ; Naphtali & Naphtali PM Limited.
    He emphasized on the need to evaluate barriers to entry into the gas and energy markets of the Sub- Saharan regions of Africa, adding that the oil and gas sectors of several developing countries in Africa, have shown limited impacts on other sectors of the economy, which is largely due to lack of relevant infrastructure to drive the needed growth .
    The Keynote address, was taken by the Executive Secretary of Nigerian Content development and Monitoring Board (NCDMB), Engr. Simbi Wabote.

    Read Also: 19 Nigerians arrested in Kenya for fraud

    He spoke on the need to developing Sub – Sahara Human capacity as the key to resolving Sub- Saharan Africa Energy Infrastructure Deficit.
    There are no thought processes strong enough to drive the infrastructure development we expect and seek in Sub -Sahara Africa.
    He added that; We somewhat Lack focus and resilience needed to deliver gigantic projects thus we focus on short term benefits instead of long term, which makes it hard to measure up with the global communities.
    International Media Personality, Wofai Samuel pointed that there is need for regional integration and cooperation between the regions of sub Saharan Africa.
    She added that the GDP growth will almost be stagnant for countries like Nigeria, if we keep exporting raw products and getting finished products in return.
    We will keep having tremendous economic growth with minimal or no economic  development she added.
    Nawfal Saadi, spoke extensively on the Moroccan Noor  Project saying Morocco is open to Collaborate with other regions of Africa.
    Discussions revolved around the Adoption of a proper gas framework, Usage of Renewable Energy, A proper Taxation framework amongst other subjects.
    Guests were treated to good food, lunch, music, dinner, the safari and theatrical performances by the cultural groups in Nairobi.
  • Nigeria oil and gas provide investments in excess of $50bn – Kachikwu

    Nigeria oil and gas provide investments in excess of $50bn – Kachikwu

    Minister of State for Petroleum Resources, Dr Ibe Kachikwu, said economic growth plan recently launched by Federal Government would provide strategic and economic partnerships in excess of 50 billion dollars.

    Kachikwu said this on Tuesday while wooing investors at an event organised in Houston, U.S., by the Nigerian Content Development and Monitoring Board (NCDMB).

    He said: “the Federal Government of Nigeria has launched a National Economic and Growth Plan for the next four years.  This is anchored on the Nigeria Oil and Gas Roadmap among other sectoral roadmaps.

    “This roadmap presents exciting opportunities for financial and strategic partnerships in excess of 50 billion dollars (about N1.58 trillion).

    “About 13 billion dollars -17 billion dollars will go to the upstream for the development of upstream gas fields with a total of 37.4 trillion cubic feet.

    “Fourteen billion dollars -17 billion dollars will go to the Trans-Nigeria gas pipeline project, gas revolution industrial park at Ogidigben and three power plants for additional 3.2 GW capacity in the gas and power sector”.

    He added that 2.5 billion dollars – 5 billion dollars will be invested in licensing and establishment of modular refineries, collocate refinery within Kaduna Refining and Petrochemical Company (KRPC) and rehabilitating/upgrading the three refineries.

    “In the downstream sector, about 3 billion dollars – 3.9 billion dollars will go to revamping of liquefied petroleum gas, building of new Compressed Natural Gas plants across the country and to pipeline and storage tank constructions.

    “In addition, 0.7 billion dollars – 1 billion dollars will be invested in ventures such as equipment leasing, development of multi-specialist hospital and cancer diagnostic and treatment centres,” he stated.

    Kachikwu assured investors on President Muhammadu Buhari’s stance that he would ensure that under his watch, the “old’’ Nigeria would slowly disappear while a new era would arise.

    He also assured them of security and the new ease of doing business in Nigeria, adding that government had made progress on reforms in the sector.

    “Part of progress made are the new policies and regulations like the new oil, gas and fiscal policies that are being developed and syndicated with all stakeholders and the Petroleum Industry Governance Bill.

    “The Bill will be passed by National Assembly before end of the second quarter.

    “It also includes business environment and investment drive, gas revolution including the gas flare commercialisation programme where investors are invited to submit detailed project proposals by end of May.

    “Private sector-led revamp for refineries being pursued and framework for new Greenfield refineries, including modular refineries in place, and Niger Delta security and transparency and efficiency,” he said.

    The minister said that the outcome of the meeting would be aligned to projects and funding opportunities, preliminary discussion on areas of potential collaboration and broad alignment on funding options.

    The Executive Secretary of the NCDMB, Mr. Simbi Wabote, in his address said that his desire was not to hold events but “to follow through on whatever decisions are made from such meetings to ensure development eventually”.