By Yange Ikyaa
Nigeria and Equatorial Guinea have commenced discussions on the establishment of a joint logistics base, as well as the deployment of indigenous capacities across countries and lowering the cost of major oil and gas operations.
The Minister of Planning and Economic Diversification of Equatorial Guinea, Gabriel Mbega Obiang Lima, held the discussions in Abuja with Engr. Simbi Kesiye Wabote, Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB). During the meeting, Lima complained about the exorbitant cost of key oil and gas operations in the Gulf of Guinea, adding that operators in Nigeria and Equatorial Guinea could lower their costs significantly by collaborating in the scheduling of their respective work programmes such as mobilization and demobilization of drilling rigs and other assets.
The Minister was accompanied by the Ambassador of the Republic of Equatorial Guinea to Nigeria, Francisco Edu Ngua Mangue; First Secretary of the Embassy, Josue Nsue Mbasogo; and Personal Assistant to the Minister of Planning and Economic Diversification, Akim Lima.
Conversations at the meeting centered around inviting reputable Nigerian oil and gas service companies to establish their operational bases in Equatorial Guinea, whereby the companies would use the country’s ports to launch their activities in neighbouring countries such as Gabon, Cameroon, and Angola.
Lima promised to send a formal request for the partnership to the NCDMB, adding that the support of government institutions would be needed before such business opportunities could be explored successfully.
He hinted that the proposed business relationship and pooling of demand profiles were necessary to attract key investments, explaining that big companies like General Electric would only invest in a jurisdiction if they were assured of markets from neighbouring countries.
On the clamour by Western nations for energy transition and plans to progressively displace fossil fuels with renewable energy solutions, the Minister and the Executive Secretary re-echoed their positions that fossil fuels would remain the world’s dominant energy source for several decades
They agreed that both nations would continue to exploit their oil and gas resources to the fullest and use the proceeds to develop their national economies, including renewable opportunities.