NOG: TotalEnergies Applauded For Achieving 95% Local Content With Ikike Project
By Sunday Etuka, Abuja
French oil major, TotalEnergies has been applauded by both regulators and operators in the oil and gas industry for achieving 95% local content with Ikike development project.
The commendation follows the remarks made by the Deputy General Manager, Nigeria Content at TotalEnergies EP Nigeria Limited, Cyprian Ojum during a Panel Discussion titled “R&D and Technology as an Enabler For Local Content”, at the ongoing Nigeria Oil and Gas Energy Week in Abuja, Nigeria.
Ojum said, while people were talking about the 85% achieved for Egina, a flagship offshore project driving local development and expertise, the company did 95% local content with Ikike development project.
He disclosed that the initial plan was to achieve 75%, “but at the end of the day, we did 95% because all the packages of Ikike Project were done 100% by Nigerians”.
Ojum noted that there are a lot of opportunities in offshore and deep offshore that could be unlocked by the indigenous companies if they demonstrate the requisite knowledge and capacity to play in those space.
“There is no discrimination in the industry, when people come in and they demonstrate capacity, have the right equipment, and experience to do the job, they are not discriminated against”, he said.
Ojum, however, noted that the oil and gas landscape has greatly changed, as it has moved from the land swap to shallow water, to offshore and deep offshore. Stressing that the present business oil and gas in Nigeria is going offshore.
According to him, “the major discoveries and reservoirs are going deep and deeper offshore, consequently, the indigenous companies must wake up else they will be left in the midst of things, because they will lack knowledge of where the oil and gas industry is going to, which is deep offshore”.
Speaking further on technology and knowledge requirements for local companies in deepwater, he said, “we can’t do much without knowledge. Nigerian indigenous companies, contractors, service companies must have the knowledge about offshore business, because in deep offshore exploration, the technology is different”.
He, therefore, urged the local companies to collaborate with international Oil Companies (IOCs) to skillup or get the requisite knowledge to be able to play in the space.
“If you don’t have the important criteria that they are looking at, which is knowledge and capabilities, you will not be able to participate, therefore, accelerated Research and Development is the way to go in terms of local content in the oil and gas industry in Nigeria”, he said.
TotalEnergies’ oil production is mainly offshore. Of the 31 permits in which they hold interests, they operate five (5): PML 2/3/4 with the Akpo and Egina fields, OML 99 with Ikike field, and OML 102, 139 and 138.
Recall that the company recently announced plans to divest its onshore share of Shell Petroleum Development Company of Nigeria Limited (SPDC), in which it holds a 10% interest.
