Indigenous exploration and production companies now control over 30 per cent of the upstream segment of the country’s oil and gas industry, the Group Executive Director, Exploration and Production, Nigerian National Petroleum Corporation, Mr. Abiye Membere, has said.
Speaking at a conference in Lagos on Thursday, Membere attributed this development to the Nigerian Content Development and Monitoring Board Act passed in 2010.
He said the local content law had driven indigenous participation in upstream operations from less than 10 per cent in 2010 to over 30 per cent in 2013.
“Local participation has grown from less than 10 per cent to over 30 per cent in upstream operations with other spin off effects,” he said.
While lauding the NNPC, international oil companies and the host communities for the roles they played in getting the local content law passed, he canvassed for a multi-stakeholders’ support for the Petroleum Industry Bill.
“We are hopeful that together, we will also see the successful passage of the PIB currently before the National Assembly as well as its successful implementation with attendant positive impacts on the economy,” Membere added.
Speaking on the theme of the conference: ‘PIB: Harmonisation and implementation for economic growth’, the Group Managing Director, NNPC, Mr. Andrew Yakubu, said there was the need to redouble efforts to reach a consensus on the PIB.
He said, “One of the major challenges in the industry today is how we shall arrive at a consensus on the PIB, which has been in the National Assembly for several years.
“It is by being able to have a harmonised position on the bill that we can expect an industry legal framework that will support the growth of the oil and gas industry for many years to come.”
The NNPC boss condemned pipeline vandalism in the oil and gas industry, saying it was robbing the country of revenue for infrastructure development.
Information from Punch was used in this report.