NLNG Train 7: FG Insists On Local Content

Executive Secretary, Nigerian Content Development and Monitoring Board (NCDMB), Mr Simbi Wabote says  the planned 7 billion dollar Nigeria Liquefied Natural Gas (NLNG) Limited Train 7 plant will be done in-country by mostly Nigerian companies.

Wabote disclosed this at a public workshop to discuss opportunities for the Nigerian content aspect of the NLNG Train 7 plant, in Abuja, on Tuesday.

He said the Engineering, Procurement and Construction work must be in-country as part of effort to ensure local content drive in the country.The workshop was organised by the NLNG.

He  said the era of building such big projects in modules abroad and then shipped to Nigeria to be coupled, was over.

Wabote explained that the government would now assess such new projects with what had been achieved with the Egina Floating Production Storage and Offloading oil platform built by Total.

“I know how we insist on some of these local content requirements (from the international oil companies (IOCs).

“If you leave them alone, they will build this Train 7 in modules and then ship them from England or Netherlands and then take them straight to Bonny and couple them.

“ That is not going to happen. We are going to build the Train 7 in-country because we have the capacity.” he said.

He further explained that the NCDMB was confident the NLNG Train 7 plant would come through, unlike some other oil and gas projects that have been in the pipeline for  many years.

The NLNG has been adjudged as one of Nigeria’s most successful corporate organisations.

It is  a private limited liability company owned by the federal government, represented by the Nigerian National Petroleum Corporation (NNPC) with 49 per cent stake; Shell – 25.6 per cent; Total – 15 per cent and Eni – 10.4 per cent,

Earlier, the  NLNG’s Managing Director, Mr Tony Attah, said that the Train 7 project would  increase production output of its plant by 35 per cent from 22 Million Tonnes Per Annum (MTPA) to 30 MTPA, and improve Foreign Direct Investment (FDI) into Nigeria.

He said 2019 would mark the company’s 30th year in existence and 20th year of operation as a global entity.

Giving an overview of the Train 7 project, he  said opportunities exist for in-country fabrication of pressure vessels, pipes, flare stack among others.

He added that it would also offer opportunities for Nigerian companies to supply cement, fuel, lubricants and vehicles including earth moving equipment.

In construction, he  said  that opportunities exist in consultancy services, installation, commissioning and inspection, testing and certification.

Attah added that Nigerian companies would have opportunities to supply logistics including marine and air transport for thousands of workers that would be engaged when construction of the new train begins.  

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