Nigeria’s oil and gas sector has boasted about its significant growth especially its ability to generate and sustain over 141,000 jobs and 117 oil firms.
This information was based on the new figures released by the industry.
Addressing a session on the industry panel, Dr Bolaji Ogundare, Group Executive Director of Pan Ocean/Newcross Petroleum, said that the number of operating companies had increased from just under 10 in 2010 to 117.
The number of service companies has also grown considerably to reach 11,764, with indigenous companies making up over 60% – as against less than 5% earlier.
He pointed out that growth in the industry has resulted in significant job creation of over 141,000 direct jobs.
Nevertheless, Ogundare emphasized that while Nigeria and other African nations have succeeded in increasing local ownership, the emphasis should now shift to capacity building.
For him, participation “is no longer enough,” since the greatest challenge now is that of technology ownership, sustainability of industries, and creation of internationally competitive businesses and not the simple satisfaction of local content demands.
He cited the Nigerian Oil and Gas Industry Content Development (NOGICD) Act as the vehicle through which indigenous participation was achieved but added that the next phase will see more investments in the area of skill, finance, technology, and institutions.
The current projects include Amukpe Escravos Pipeline and Ovade-Ogharefe Gas Processing Plant, where indigenous operators are moving from playing service to creating real business values.
Finally, Ogundare highlighted the need for African countries to integrate their supply chains and partnerships through the African Continental Free Trade Area (AfCFTA).
