Jonathan Extols NCDMB Over Success of NOGICD Act
The Nigerian Content Development Management Board (NCDMB) has explained that its partnership with ERASKON, whose lubricants plant was commissioned recently in Bayelsa, was in line with NCMDB’s mandate of developing local manufacturing capacity, providing employment opportunities, and increasing local content in the Nigerian oil and gas industry and linkage sectors.
The groundbreaking ceremony of the ERASKON, 64,000 litres per day capacity lubricants blending plant was conducted in Gbarain of Bayelsa state a fortnight ago with former President Goodluck Jonathan, state government officials, industry stakeholders and officials of NCDMB present.
Speaking during the occasion, the executive secretary of the NCDMB, Engr. Simbi Wabote, explained that Section 70(h) of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act of 2010 mandates the board to assist local contractors and Nigerian companies to develop their capabilities and capacities to further the development of Nigerian Content in the oil and gas industry.
According to the ES, Nigeria’s in-country manufacturing capacity for lubricating oil falls far below the consumption, hence the shortfall is met through importation, resulting in loss of revenue and job opportunities.
He explained that the ERASKON facility will produce approximately 64,000 litres of lubricants per day and more than 20 million liters of products a year, making it to become one of the largest lube plants in the country, with the capacity to serve the Niger Delta region and beyond.
He further stressed that no lubricant blending plant exists currently in Bayelsa State, saying that ERASKON decided to domicile and domesticate the production and thereafter submitted proposals to the board, which was approved after a diligent review of the technical and commercial viability.
The NCDMB boss affirmed that the blending plant would be beneficial to the host community, state, and the neighboring states through meeting their needs for lubricant products as well as providing direct, indirect, and induced job opportunities.
In his appraisal, former President Goodluck Jonathan extolled the management of the NCDMB under the leadership of its Executive Secretary, Engr. Simbi Wabote for the effective implementation of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act and the tremendous impact the board has made on Nigeria’s economy.
The former president had signed the NOGICD Bill into law in April 2010. He also applauded the board for the outstanding successes it had accomplished, particularly for accelerating the industrialization of Bayelsa State through the deliberate domiciliation of strategic oil and gas projects and capacities in the state.
Jonathan pointed out some of the projects to include the 12,000 barrels per day (bpd) Azikel modular refinery and the 2,000bpd Atlantic modular refinery, Rungas composite LPG cylinder manufacturing facility at Polaku, the oil and gas industrial park at Emeyal-1 and the Board’s 17-story headquarters building.
Similarly, the executive Vice chairman of ERASKORP Nigeria Limited, Mr. Maxwell Oko confirmed that the plant on completion will produce high-quality engine oils, transmission fluids, hydraulic fluids, specialized four-wheel-drive products, engine coolants and specialty products such as waxes.
According to him, in the second phase of development, the company would go into the manufacturing of industrial chemicals such as drilling and production chemicals as well as transformer and turbine oil, in addition to household products such as detergents and aerosols.
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