The Republic of Congo is looking to Nigeria’s local content model to strengthen indigenous participation and help local oil and gas companies grow. Congo’s Minister of Hydrocarbons, Stev Simplice Onanga, led a delegation to Abuja to study Nigeria’s approach to developing local capacity and retaining more value from its natural resources.

Speaking during a meeting with Nigeria’s Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, Onanga described Nigeria as a “big brother” in local content development. He said the delegation wanted to understand how Nigeria developed and implemented its local content framework and identify lessons that could be adapted to Congo’s oil and gas industry.

Lokpobiri said Nigeria’s experience demonstrated how deliberate policies, financing and institutional support could increase indigenous participation in the sector. He pointed to the Nigerian Content Development and Monitoring Board (NCDMB) and the Nigerian Content Act as key parts of the framework, adding that Nigerian companies now account for about 60 per cent of oil and gas production, according to his remarks.

The minister also highlighted opportunities created by the divestment of some onshore and shallow-water assets by international oil companies. He said these developments had allowed indigenous operators to gain technical experience, acquire equipment and expand their capabilities, although deep offshore operations remain largely dominated by international companies because of their significant technical and financial requirements.

For Congo, the Nigerian experience offers a practical reference as it seeks to build stronger indigenous oil companies and retain more economic benefits from its resources. Lokpobiri stressed that African countries must develop their own skills, technology and industrial capacity rather than depend entirely on foreign partners, while noting that local participation cannot shield producers from global crude oil price movements.

source: Leadership