Why NCDMB Invests in Indigenous Companies -Wabote

-By Gideon Osaka

The Executive Secretary of Nigerian Content Development and Monitoring Board, NCDMB, Mr. Simbi Wabote has explained the reason why NCDMB is investing in indigenous companies, in its quest to industrialize the country.

Speaking at the inspection tour of the newly completed Waltersmith modular refinery at Ibigwe, Ohaji/Egbema Local Government Area of Imo State, Wabote stated that NCDMB is leading by example by partnering Waltersmith, so as to encourage Nigerians to have confidence in indigenous companies in the provision of employment and technical know-how. According to the Executive Secretary, NCDMB took up 30 percent equity in Waltersmith modular refinery, with the approval of its Governing Council, having realized that the project had several benefits, including generation of direct, indirect, and induced employment opportunities for management staff, plant operators, technicians, drivers, cleaners, suppliers, security personnel and others.

He explained that one of NCDMB’s mandates is to develop in-country capacities and capabilities to utilize and add value to the nation’s hydrocarbon resources, while its vision is to serve as a catalyst for the industrialization of the Nigerian oil and gas industry and its linkage sectors. “This vision contributes to the realization of our 70 per cent Nigerian Content target in the oil and gas sector by 2027. Our partnership with Waltersmith and other similar investments are some of the levers we are using to deliver the target growth rate,” he said.

He advocated for the refining of at least 10 percent of Nigeria’s oil production through the modular refineries, as he noted that an average of ten direct jobs are created for every 1,000 barrels/per day capacity of modular refinery, hence over 2,500 direct jobs and over 25,000 indirect jobs can be created if 10 percent of Nigeria’s production is refined using modular refineries. The Waltersmith modular refinery, Ibigwe is expected to significantly expand its production capacity to 50,000 barrels of crude oil per day. “We have started with the first module which is 5000 barrels. The next module will be 25,000 barrels. Then the finale module will be 20,000. “At that point we will be loading 120 trucks every day at peak production, comprising different products-diesel, kerosene, PMS, HFO and Jet Fuel,” Wabote added.

He explained that load out of products will commence on October 14, starting with diesel, to be followed closely with the commencement of phase two of the project.