The Nigerian Content Development and Monitoring Board (NCDMB), says it plans to elevate Africa’s indigenous oil producers and national oil companies as the next generation of project producers involved in equity financing of exploration and field development activities.
The Executive Secretary of NCBDB, Simbi Wabote, said it seeks to achieve the elevation through the Africa Local Content Investment Forum (ALCIF) to be held in Lagos on March 7, 2022.
He said the forum would also position Africa’s oil and gas service companies as funding blocks for research and development of technology required for exploration and production operations and position Africa’s financial institutions as providers of debt financing for oil and gas projects.
Wabote added that Africa’s indigenous oil producers and national oil companies through ALCIF would rank as the next generation of project producers involved in equity financing of exploration and field development activities.
Wabote noted that “The ongoing global energy transition is driving most international oil companies (IOCs) to declare commitments to reduce carbon emissions thereby scaling down investments in hydrocarbons development in favour of expanding renewable portfolios,’’.
He added that leading global financial institutions are also reducing or eliminating portfolio allocations to oil and gas projects.
The event will also provide a platform for African leaders in the oil and gas industry and financial sector, financial institutions, regulators, and regional bodies to meet and shape the future of the oil and gas industry in Africa amid energy transition realities.
Expected at the event are delegates from 18 countries -mostly from the African Petroleum Producers’ Association (APPO), 140 financial institutions, and 400 participants from around Africa. The event is being facilitated by the Heritage Times and has its theme as “Developing a Pan African Strategy towards Sustainable Funding of Africa Oil and Gas Projects”.
ALCIF is coming on the heels of the first African Local Content Roundtable, which was hosted by the Board in June 2021, at the NCDMB Towers in Yenagoa, Bayelsa State.
The Board’s sponsorship of ALCIF is in furtherance of the Nigerian Content 10-Year strategic Roadmap, which has a key aspiration to promote Local Content across the African continent and ensure access to market for oil and gas capacities that have been developed locally.
The Board had consistently provided guidance to several African countries on the implementation of local content policies in their jurisdictions.
According to the organisers, the local content policy which has been implemented successfully in the Nigerian Oil and Gas Industry offers one of the most appealing economic development models for a self-reliant and resilient African economy.