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BREAKING: NCDMB Addresses Sterling Oil’s Non-Compliance Issues

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NCDMB Charges Indigenous Companies On Compliance As Nigerian Content Level Hits 54% In 2022

 

The Nigerian Content Development and Monitoring Board (NCDMB) has commended the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) for whistleblowing the infractions of Sterling Oil Exploration and Energy Production Company (SEEPCO).

This was contained in a statement on its verified handle on micro-blogging site, X, on Monday.

The NCDMB pointed out that it “had sanctioned SEEPCO a few years ago for gross violations”, issued directives, which regrettably SEEPCO ignored, which saw the Board take legal action.

The statement was issued under the subject ‘Actions Taken by NCDMB Towards Addressing Sterling Oil’s Non-Compliance Issues’.

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“We are delighted that PENGASSAN served as a whistle blower over the alleged expatriate quota abuse by the management of Sterling Oil, and we assure the union and the general public that we would investigate the matter exhaustively and take necessary actions,” the Board stated.

It reads, “The Nigerian Content Development and Monitoring Board (NCDMB) has noted the comments made by the President of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), Mr. Festus Osifo, during the union’s recent protest at the headquarters of Sterling Oil Exploration and Energy Production Company (SEEPCO), at Victoria Island, Lagos, over alleged anti-labour practices and expatriate abuses by the company.

NCDMB commends the PENGASSAN leader for acknowledging that qualified Nigerian personnel are occupying top leadership and technical positions in most international and indigenous operating oil and gas companies, and are performing creditably in those roles.

He noted rightly that Nigerians are executing complex functions in the floating production and storage and offloading (FPSO) platforms like Bonga, Agbami, USAN, AKPO, Egina, etc. Indeed, Nigerian oil and gas workers performed almost all operations in the oil and gas industry during the COVID-19 pandemic and kept the industry afloat, after most expatriates returned to their home countries.

These feats were accomplished through NCDMB’s strategic implementation and enforcement of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act 2010, particularly the Expatriate Quota, Succession Plan and Deployment of Expatriates Guidelines and Expatriate Work Temporary Work Permit Guidelines. The successes were also enabled by the several Nigerian Content capacity building interventions that prepared and placed qualified Nigerians in key positions in the oil and gas industry. Through enforcement and compliance oversight, the Board ensured that 609 technical positions were nigerianised for the period 2020-2024.

We are delighted that PENGASSAN served as a whistle blower over the alleged expatriate quota abuse by the management of Sterling Oil, and we assure the union and the general public that we would investigate the matter exhaustively and take necessary actions.

We can confirm that NCDMB had sanctioned SEEPCO a few years ago for gross violations of the NOGICD Act. Recently, we have been engaging the company for the same reasons. Our regulatory engagements with the firm are outlined below:

1. In 2017, the NCDMB identified five expatriates deployed by SEEPCO without obtaining the relevant NCDMB approvals. As a result, NCDMB penalized the company for this non-compliant deployment of expatriates. To remediate this, SEEPCO trained five Nigerians in Marine Engineering and Subsurface Drilling Engineering for nine months.

2. In 2018, NCDMB identified 402 expatriates deployed by SEEPCO without approval. Additionally, NCDMB discovered projects, contracts, and purchase orders from multiple projects that were awarded and executed without appropriate approvals. NCDMB penalized SEEPCO for these infractions and directed SEEPCO and its affiliates to take the following actions:
• Disengage the 402 expatriates and provide evidence of their disengagement and exit to the Board.
• Commence and comply with the NCDMB Expatriate Quota application process.
• Comply with the Board’s requirements for tendering and awarding projects, contracts, and purchase orders.
• Complete the Nigerian Content Development Fund (NCDF) reconciliation exercise and pay outstanding remittances.
• Submit up-to-date statutory reports on Nigerian Content and comply with the review process.
• Train and employ 40 Nigerians as part of the remediation/penalty.

3. Regrettably SEEPCO ignored those directives until the Board commenced legal proceedings against the firm, in line with section 68 of the NOGICD Act.

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NCDMB, Renaissance Build Oil, Gas Capacity for 300 Graduates

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NCDMB Emerges Best MDA In Ease Of Doing Business Ranking

The Nigerian Content Development and Monitoring Board (NCDMB), in partnership with Renaissance Africa Energy Company Limited, has launched a specialised 12-month capacity development programme to prepare 300 young Nigerian graduates for careers in the nation’s oil and gas industry

The NCDMB–Renaissance Oil and Gas Field Readiness Training Programme will provide participants with industry-relevant expertise in mechanical, electrical and instrumentation engineering, combining three months of intensive classroom instruction with nine months of structured on-the-job training at partner oil and gas service companies.

The programme has enrolled 300 beneficiaries, comprising 240 trainees in Lagos and 60 in Port Harcourt.

During the inauguration of the programme, the Executive Secretary of NCDMB, Engr Felix Omatsola Ogbe, said the initiative underscores the Board’s commitment to developing indigenous technical capacity, increasing Nigerian participation in the petroleum industry and supporting the country’s economic growth.

Represented by the Board’s Assistant Manager, Human Capacity Development, Tari Bufazi, Ogbe said the training would equip participants with practical experience and internationally recognised certifications needed to compete in the global energy industry.

“This is more than the commencement of a training programme. It is the beginning of a journey for young Nigerians who will acquire world-class skills in mechanical, instrumentation and electrical disciplines,” he said.

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According to him, specialised competencies in automation, instrumentation and engineering operations have become increasingly critical as Nigeria prepares for a new wave of investments in the oil and gas sector.

“Instrumentation, electrical and mechanical engineering are foundational to the survival, profitability and safety of the Nigerian oil and gas industry. This training is designed to close existing gaps and prepare participants for industry demands,” he added.

Ogbe urged the beneficiaries to seize the opportunity to develop themselves into innovators, problem-solvers and future leaders capable of driving the industry’s growth.

In the same vein, the General Manager, Nigerian Content Development at Renaissance Africa Energy Company Limited, Olarenwaju Lanre Olawuyi, reaffirmed the company’s commitment to building indigenous capabilities through sustained investments in human capital.

Represented by Funso Alabi, Olawuyi said the programme was deliberately structured to expose participants to both classroom learning and practical field experience across mechanical systems, electrical operations, instrumentation and control, software development, networking and cybersecurity.

He noted that the practical component would bridge the gap between academic knowledge and workplace expectations, enabling participants to acquire competencies increasingly sought after by employers.

“At Renaissance, we believe local content development must create real capability, strengthen indigenous expertise and empower Nigerians to lead,” he said.

He also reminded the trainees that technical competence alone would not guarantee success, stressing that professionalism, integrity, teamwork and a strong safety culture remain essential qualities in the oil and gas industry.

The Chief Executive Officer of Radial Circle, the programme’s lead training provider, Ranti Omole, disclosed that the beneficiaries emerged from a highly competitive selection process involving thousands of applicants drawn from the NCDMB database.

He said the objective of the initiative extends beyond issuing certificates, noting that the programme is designed to produce industry-ready professionals capable of making immediate contributions in operational environments.

“We are building competence and skills. By the time you complete this programme, you should be field-ready and able to fit seamlessly into industry operations,” Omole said.

He encouraged participants to remain disciplined, embrace continuous learning and leverage the opportunity to collaborate with colleagues from different parts of the country.

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Nigerian Navy Claims Credit for Raising Crude Oil Production to 1.7m bpd

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The operational successes of the Nigerian Navy’s sustained offensive against oil theft, illegal refining, pipeline vandalism, and militancy in the second quarter of 2026 have aided Nigeria’s crude oil production to reach 1,735 million barrels per day in June.

Recall that the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) announced that the 1.735 million barrels per day represented 104 per cent of Nigeria’s Organisation of Petroleum Exporting Countries (OPEC) quota.

However, the Director of Naval Information, Capt. Abiodun Folorunsho, in a statement over the weekend, in Abuja, noted that the feat was the highest crude oil output recorded since April 2020.

According to Folorunsho, the offensive against crude oil theft, illegal refining, pipeline vandalism, militancy, and other forms of economic sabotage in the Niger Delta under Operation DELTA SENTINEL was intensified to consolidate first-quarter gains.

“Since April 2026, the Nigerian Navy has conducted over 580 intelligence-driven operations across Rivers, Bayelsa, Delta, Cross River, and Lagos State.

“These operations have resulted in the recovery of over 4.7 million litres of stolen crude oil and illegally refined petroleum products, as well as the arrest of over 91 suspects involved in crude oil theft, pipeline vandalism, militancy and related crimes.

“It also led to the dismantling of over 48 illegal refining sites, interception of multiple vessels engaged in crude oil theft, and the destruction of criminal logistics networks supporting economic sabotage.”

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Folorunsho said that one of the major operational successes recorded was the arrest of the motor tankers – MKPODU, WESTAF, and STELIOS K, which were linked to the theft of more than 900 metric tonnes of suspected stolen crude oil.

He said it resulted in the recovery of over 708,000 litres of illegally refined products and 310,000 litres of stolen crude oil from a single illegal refining site in Ndoni, Rivers.

“It also facilitated numerous intelligence-led operations that dismantled reactivated refining sites, intercepted illicit fuel consignments and prevented criminal syndicates from restoring illegal production capacity across the Niger Delta,” he said.

According to him, coordinated riverine operations led to the deactivation of scores of illegal refining sites, reservoirs, dugout pits, storage facilities, warehouses, concealed fuel caches, pipeline connections and militant hideouts.

The director of naval information also said that the operations exposed a growing trend of criminal syndicates attempting to reactivate previously dismantled refining camps, prompting sustained follow-up operations.

He said the follow-ups prevented the regeneration of illegal refining ecosystems and progressively disrupted the economic viability of crude oil theft networks.

“The Nigerian Navy notes that these sustained operational gains coincide with the recent announcement by the NUPRC of increased crude oil production, exceeding the OPEC production quota.

“This indicates improved security around critical oil and gas infrastructure and the collective efforts of security agencies in fighting crude oil theft.

“Persistent naval presence across the Niger Delta waterways has denied economic saboteurs the freedom of action, disrupted illicit petroleum supply chains, and enhanced the integrity of critical oil and gas infrastructure,” he said.

The naval spokesperson reaffirmed the Navy’s commitment to safeguarding Nigeria’s maritime domain, protecting vital national assets, and enhancing oil production to support the Federal Government’s goal of reaching 2.5 million barrels per day by 2027.

He added that the service would continue to conduct intelligence-led operations and strengthen inter-agency cooperation to further degrade oil theft networks within the Nigerian maritime environment in line with the vision of the Chief of the Naval Staff, Vice Admiral Idi Abbas.

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Lokpobiri Lures Investors with PIA

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The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, has assured investors that Nigeria will continue to strengthen its legal and regulatory framework to provide certainty for investments in the country’s energy sector, building on the Petroleum Industry Act (PIA).

Lokpobiri gave the assurance at the just-concluded Lawyers in Energy International Conference 2026 organised by the Lawyers in Energy Network in Lagos.

He added that the Federal Government was committed to building a transparent, predictable and enforceable legal environment to support the country’s energy transition and sustain investor confidence.

Lokpobiri, represented by the Director of Legal Services in the Ministry of Petroleum Resources, Terlumun Tyendezwa, said Nigeria’s energy transition must be driven by laws and regulations that provide certainty for investors while supporting the country’s climate commitments.

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He said the Federal Government was determined to shape Nigeria’s energy transition on its own terms by ensuring that the sector operates within a transparent, predictable and enforceable legal framework.

According to him, the Petroleum Industry Act (PIA) has laid a solid legal foundation for the sector, while regulators have continued to develop rules that provide greater clarity for both upstream and downstream operators.

Lokpobiri stressed that legal certainty was indispensable to investment decisions, noting that sound policies alone would not attract capital unless they were backed by effective implementation.

“The energy sector must be governed by a framework that is transparent, predictable and enforceable. What this means in practice is that there is clarity in our legal framework,” he said.

He added that investor confidence depends on certainty created by law and regulation.

The minister noted that Nigeria had already demonstrated its commitment to climate action through the Climate Change Act and the establishment of a carbon credit framework.

According to him, these initiatives provide incentives for investors and assure businesses that Nigeria remains a stable destination for long-term investments.

He warned that decisions taken today by lawmakers, regulators and legal practitioners would shape Nigeria’s energy future for generations.

Lokpobiri reaffirmed the ministry’s commitment to strengthening regulatory institutions, deepening stakeholder engagement and improving the country’s legal framework to protect investors, host communities and the public.

He urged participants at the conference to use the gathering to address difficult issues confronting the sector and contribute practical solutions for Nigeria’s energy future.

In his keynote address delivered virtually, the Secretary-General of the African Petroleum Producers’ Organisation, Farid Ghezali, said regulatory stability, fiscal clarity, contract sanctity, environmental standards and policy consistency had become as important as resource potential in attracting investment.

“The global energy transition has fundamentally changed how investors evaluate destinations, with regulatory stability, fiscal clarity, contract sanctity, environmental standards and policy consistency becoming as important as resource potential.

“In this new reality, geology is no longer enough,” said Ghezali, who described regulatory uncertainty as Africa’s biggest hidden tax and harmonisation as its biggest untapped incentive.

He said investors currently faced more than 50 different legal and regulatory systems across Africa’s petroleum industry, increasing transaction costs, delaying projects and diverting capital to regions with more predictable legal environments.

“Harmonisation does not remove sovereignty; it multiplies it. It turns individual efforts into continental strength,” he added.

The Chairman of the Board of Trustees of the Lawyers in Energy Network, George Etomi, said lawyers would play a decisive role in helping countries achieve their 2060 net-zero targets through stronger legal and regulatory frameworks.

“As lawyers and energy professionals, we have a vital role to play in shaping the legal and regulatory architecture that will support sustainable investment, encourage innovation, manage disputes and promote responsible energy development,” Etomi said.

Founder and Executive Secretary of the Lawyers in Energy Network, Raqueebah Oloko, said the conference examined the legal and regulatory reforms required to help African countries navigate the global energy transition without sacrificing their development priorities.

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