In line with its commitment to Nigerian Content Development, Chevron Nigeria Limited (CNL) announced it has spent a combined total of $10 billion on Nigerian suppliers and service providers in the last 10 years. This was targeted towards local businesses with the execution of local content initiative. December 2021, Chevron will be celebrating 60 years in Nigeria and one of the notable contributions to the economy has been it’s long history of supporting the development of Nigerian content.
Before the enactment of the Nigeran Oil and Gas Industry Content Development Act (NOGICD) in April 2010, chevron has aided in the capacity building of various Nigerian firms by providing Nigerians with training, contracts, and procurement opportunities on all of its projects.
According to Rick Kennedy, Chairman and Managing Director of Chevron stated that the company undertakes all of this, not because it is obligated to, but because it is the right thing to do. This project includes Agbami project which has set industry standards by fabricating over 10,000 tonnes of steel using Nigerian fabrication companies and it is the most recorded in the country.
Chevron also taught 105 Nigerian engineers from 21 engineering companies in South Korea, according to Kennedy. Similarly, the Escravos Gas Project (EGP) has employed over 1,800 Nigerians and sourced millions of dollars in services (engineering, procurement, fabrication, marine, and so on) from within the country. It should also be noted that for 60 years chevron has made meaningful impact in the country, they are not only the country’s largest investors but also the country’s largest oil and gas producers. Some notable contributions include its support for development of education in the Niger Delta Region and in the country by providing infrastructure, scholarships etc. We also have the chevron awards scholarships to visually impaired students to enhance their access to quality education amongst many other notable contributions.
These revelations of Chevron spending over $10bn to boost Nigerian local content is a very laudable feat as the investment is aimed at improving the local aspect of the Nigerian oil and gas industry. Investment in offshore exploration or downstream operations yields positivity in the country, with a means of providing employment and harnessing indigenous talents to strive in the industry. It also plays a role in stabilizing prices of Petroleum Products (AGO MGO PMS) as it assists in a stream of production within the country.
Source: Oriental News, Vanguard, Punch News
