PETAN’s Role in Boosting Local Content in Nigeria’s Oil and Gas Industry

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Engr Wole Ogunsanya, The PETAN Chairman

The Petroleum Technology Association of Nigeria (PETAN) has been a pivotal force in advancing local content within Nigeria’s oil and gas sector. As the oil-rich nation seeks to bolster its economy and create more sustainable growth, PETAN’s initiatives to empower indigenous companies have become more critical than ever. This story delves into how PETAN’s operations have fostered a thriving environment for local businesses through strategic training programs, technology transfers, and robust partnerships, highlighting success stories and insights from industry leaders.

 

Empowering Indigenous Companies through Training and Development

 

Since its inception, PETAN has been dedicated to building the capacity of Nigerian companies to compete globally. One of the cornerstone strategies in achieving this goal has been the implementation of comprehensive training programs tailored to the needs of the local industry. These programs, developed in partnership with leading educational institutions and international organizations, have provided thousands of Nigerians with the skills necessary to excel in the highly technical oil and gas sector.

 

During the 2024 Nigeria Oil and Gas Conference, PETAN Chairman, Engineer Wole Ogunsanya, emphasized the association’s commitment to human capital development. “Our training programs are designed to empower Nigerians with the knowledge and expertise required to take on more significant roles in the industry. We believe that investing in our people is the first step toward achieving sustainable local content growth,” he stated.

 

Facilitating Technology Transfer and Innovation

 

Beyond training, PETAN has also played a crucial role in facilitating technology transfer to Nigerian companies. Recognizing that access to cutting-edge technology is vital for local firms to compete effectively, PETAN has established partnerships with international oil companies and technology providers. These collaborations have enabled Nigerian firms to acquire advanced tools and techniques, enhancing their operational capabilities.

 

Engineer Ogunsanya shared a notable case study at the conference, highlighting how PETAN facilitated a partnership between an indigenous engineering firm, Oilserve Limited, and an international technology provider. This partnership allowed Oilserve to gain access to state-of-the-art pipeline construction technology, significantly reducing project timelines and costs. “This is just one example of how we are bridging the technology gap for local companies. By facilitating these partnerships, we ensure that our members can deliver world-class services,” Ogunsanya explained.

 

Building Strategic Partnerships for Local Capacity Enhancement

 

PETAN’s strategy also includes building strategic partnerships that enhance local capacity and create opportunities for Nigerian companies. Through its advocacy efforts, PETAN has worked closely with the Nigerian government to ensure favorable policies that promote local content. This has resulted in significant contracts being awarded to indigenous companies, allowing them to expand their operations and contribute more to the economy.

 

One of the success stories shared by PETAN is that of Tenaris Global Services Nigeria, a local manufacturing company that, through PETAN’s advocacy and support, secured a long-term contract with a major international oil company. This contract not only boosted Tenaris’s production capacity but also created hundreds of jobs for Nigerians. According to Ogunsanya, “Our goal is to see more Nigerian companies like Tenaris thrive in this industry. We are committed to providing the support and opportunities needed to make this happen.”

 

Success Stories and Impactful Growth

The impact of PETAN’s initiatives is evident in the numerous success stories of Nigerian companies that have benefitted from its programs. For instance, Tolmann Allied Services, an indigenous safety training company, has grown exponentially since partnering with PETAN. With PETAN’s guidance, Tolmann expanded its training offerings and built a state-of-the-art training facility in Port Harcourt, now serving as a hub for safety training in the region.

 

“We are grateful to PETAN for their unwavering support,” said Tolmann’s CEO, Chief Talib Damagum. “Their training programs and advocacy have opened doors for us, allowing us to become a leader in safety training in the oil and gas sector.”

 

Quantifying the Growth of Local Content

 

The results of PETAN’s efforts are also reflected in the growth of local content in Nigeria’s oil and gas sector. Statistics reveal that local content participation has increased from a mere 5% in the early 2000s to over 30% today. PETAN’s advocacy, training programs, and partnerships have played a significant role in this remarkable growth.

 

At the 2024 Nigeria Oil and Gas Conference, industry expert Dr. Afolabi Oladipo remarked, “PETAN has been a game-changer for local content in Nigeria. Their initiatives have not only empowered Nigerian companies but have also contributed to building a more resilient and sustainable oil and gas industry.”

 

A Vision for the Future

 

As PETAN continues to drive the agenda for local content development, it remains focused on expanding its reach and impact. The association is planning to launch new initiatives aimed at further enhancing the capabilities of Nigerian companies and positioning them for greater success in the global market. Engineer Ogunsanya concluded his address at the conference by reiterating PETAN’s commitment to this cause: “Our vision is to create a vibrant oil and gas sector driven by Nigerian expertise and innovation. We are just getting started.”

 

Through its unwavering commitment to promoting local content, PETAN is not only shaping the future of Nigeria’s oil and gas industry but is also playing a pivotal role in the country’s broader economic development. As more Nigerian companies gain a foothold in this vital sector, the benefits of PETAN’s efforts will be felt across the nation, paving the way for a more prosperous and self-reliant Nigeria.


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