The Minister of State for Petroleum Resources, Heineken Lokpobiri, has assured that Nigeria stands to gain from the ongoing divestments by international oil companies (IOCs). Speaking at the Nigerian Content Development and Monitoring Board’s (NCDMB) PNC conference in Yenagoa, Bayelsa State, Lokpobiri stated that the country has nothing to fear from these divestments, as they involve IOCs shifting from onshore to offshore operations rather than leaving the country altogether.
He emphasized that the assets vacated by the IOCs are being acquired by local operators, a move that highlights Nigeria’s progress in local content development. “We have nothing to lose. The divestments are not being acquired by foreign entities, but by local companies, which demonstrates the success of our local capacity building efforts,” Lokpobiri said.
The minister reassured attendees that no IOC is leaving Nigeria, but rather, those divesting are simply moving to deeper offshore locations, leaving onshore and shallow water operations to be managed by Nigerian firms. “These divestments are a sign of the growing strength of our local companies, and we remain committed to ensuring the sustainability of our growth through royalties and taxes,” he added.
Lokpobiri also spoke on the success of Nigeria’s local content development, noting that other African countries, including Congo, Angola, and Namibia, are looking to learn from Nigeria’s approach. He recalled his involvement in the passage of the 2010 local content law and expressed pride in Nigeria’s leadership in local content development. “Africa is looking to Nigeria for guidance, and we will continue to share our experiences and expertise to help grow the continent,” he said.
The minister stressed that local content implementation is critical for sustainable growth in Africa, asserting that if it’s not possible in Nigeria, it won’t be possible anywhere in Africa. He urged NCDMB Executive Secretary, Felix Ogbe, to continue building on the progress made in local capacity development.
Lokpobiri concluded by noting the international interest in Nigeria’s local content model, saying, “Countries are coming from all over Africa to study how we’ve developed local capacity. And while we’re happy to share our knowledge, there’s no free lunch—when they come, they’ll pay for it.”
