HomeIndustry SectorsBusiness and marketsMore localisation of Nigeria's oil industry on the cards

More localisation of Nigeria’s oil industry on the cards

Siemens Energy has signed an agreement with GIL Automation to develop local content in Nigeria’s oil industry. This will take the form of training, skills development and joint project execution at the Siemens Energy Rotating Equipment Workshop in Port Harcourt.

Seun Suleiman, Siemens Energy Nigeria managing director, said their goal is to energise society: “This is more than just the products, services and solutions we provide; it’s about benefiting and bringing value to the society in which we operate.

“Since we commissioned this facility in 2016, we have continued to invest in its capabilities and expand our service offering to our clients in the oil and gas and non-oil and gas sectors. We have also recruited and trained more local engineers to effectively operate the workshop and increase the amount of local content.”

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Since the workshop opened in 2016 it has been a key facility for Siemens Energy to contribute towards Nigeria’s long-term developmental goals and localisation agenda in the oil and gas sector. Ongoing investment in the facility has expanded its capabilities and provided greater training and skills development opportunities for Nigerians.

According to the IEA, Nigeria is Africa’s richest oil source and the largest user of oil-fired power generators. While oil production dipped in 2020 thanks to economic slowdowns because of global lockdowns, demand is growing again which should positively influence Nigeria’s oil industry.

The IEA in its Nigeria Energy Outlook posits that oil sector reforms would help the country revive and there are signs the Nigerian government is putting plans in place to address this need. The proposed Petroleum Industry Bill’s regulatory framework hopes to attract foreign investment to the oil and gas industry.

The Nigerian Department of Petroleum Resources has also developed a plan addressing the survival and success of the oil and gas industry post-COVID-19, which will hopefully kick-start activities.

Lawal Gbolahan, GIL Automation managing director said Siemens Energy’s commitment to maximising local content development has been a factor in their partnership which started in 2008: “Over the years, we have developed capacities and competencies in panel fabrication, electric motors, electrical & instrumentation and now moving into turbines and compressors.”

Theresa Smith
Theresa Smith is a Content Specialist for ESI Africa.