The Nigerian Content Development and Monitoring Board (NCDMB) has concluded the categorization and audit exercise on indigenous marine firms with a view to ensuring that they are first considered in the award of contracts in the oil and gas industry.
In a marine vessel categorization procedure, the Board categorise indigenous marine firms into about five categories ‘A ‘ to ‘E’ just as it has concluded plans to publish the report of the categorisation exercise on a quarterly basis.
The marine vessels categorization of marine vessels provides the opportunity for service vendor to attain higher categorisation upon progression in ownership plan and service providers that fail to maintain their current ownership profile or commitments to acquire a vessel would be downgraded to a lower category.
The Board also warned that any marine firm that provides false information to win a bid will be dropped from the tender process and sanctioned in accordance with the extant laws of Nigeria.
In the report, vendors in category ‘A’ are prequalified to proceed to the technical stage of the contracting process and must be given first consideration in all tenders for all types of vessels.
Some of the criteria the Board used in its categorisation process include corporate status of vessel owner, place of manufacture, built of vessel or component of vessel.
Other factors considered by the Board were evidence of Customs duty payment, provisions of insurance and a letter from a Nigerian bank confirming the company’s receivables from marine vessel transaction and vessel ownership record (NIMASA’s vessel registration certificate.
From the report of the categorisation, category ‘A’ are Nigerian companies having marine asses ownership status as defined in vessel ownership requirement while category ‘B’ are Nigerian firms that are into long term bare boat lease of foreign owned vessel wherein the company provides man-power for the leased vessel.
For category ‘C’ and ‘D’ are for new entrants and foreign company operating in Nigeria respectively.
Information from Vanguard was used in this report.