Energy
NOGICD Act, Not Weakened by Presidential Orders on Oil Sector – NCDMB
The three Executive Orders issued by President Bola Ahmed Tinubu on the Oil and Gas Industry in March 2024 did not erode the relevance of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act on the operations of the oil and gas industry, the Nigerian Content Development and Monitoring Board (NCDMB) has said.
This was one of key messages from the Local Content Masterclass and panel discussion, held on Monday at the African Energy Week, which started in Cape Town, South Africa. Discussions at the panel highlighted Nigeria’s local content’s milestones and processes, provided local lessons for other African oil and gas producing countries, clarified misconceptions, as well as positioned Nigeria’s oil and gas industry for investment.
The panelists included the Director Capacity Building, Engr. Abayomi Bamidele, General Manager Monitoring and Evaluation, Mr. Silas Omomehin Ajimijaye, and General Manager, Nigerian Content Development Fund (NCDF), Ms. Fateemah Mohammed, and the session was moderated by the General Manager Corporate Communications, NCDMB, Dr. Obinna Ezeobi.
Giving insight into the Presidential Directives, Engr. Bamidele observed that some oil and gas stakeholders grossly misinterpreted the Presidential Directives to mean that the NOGICD Act had been relegated or sidestepped and they no longer need to comply with the provisions of the law. “The Special Adviser to the President on Energy had to clarify that the Presidential Directives did not set aside local content. They only mandated that existing capacities must be patronized and middlemen must be excluded from the contracting process.”
The three Executive Orders are the Presidential Directive on Local Content Compliance, Presidential Directive on Reduction of Petroleum Sector Contracting Cost and Timelines and Presidential Directive on Oil and Gas Companies (Tax Incentives, Exemption, Remission, etc.
Bamidele confirmed that NCDMB had streamlined its contracting strategies to align with the Presidential Directives, collapsed its touchpoints in the contract approval process from 9 to 5, thereby contributing to the shortening the industry’s contracting cycle, reduction of the cost of projects and catalysing new oil and gas projects from operating oil and gas companies.
He announced that qualified international service companies can now be awarded the Nigerian Content Equipment Certificates (NCEC), to facilitate their direct participation in deepwater operations in the Nigerian oil and gas industry, as provided in the NOGICD Act. This policy will attract investments into the sector, and is consistent with the Presidential Directives, he explained.
On Board’s strategy for capacity development for new oil and gas projects, he said plans are afoot to conduct trainings in skill areas that are in a high demand in the sector. He underlined the need to always streamline capacity building initiatives with requirements and changing dynamics in the industry.
The Board is also committed to developing critical infrastructure such as the Brass Island Shipyard with support of the NLNG, as well as completing and operationalizing the Nigerian Oil and Gas Parks at Odukpani, Cross River State and Emeyal-1 in Bayelsa State, he hinted.
Counselling sister Africa countries, Engr. Bamidele noted that local content and capacity building strategies must be country-specific, and policy makers must understand the mindset and skillsets of their nationals. He further advised that local content policies and capacity building models must be relevant and applicable to the host country’s technological, educational and manpower capacities.
While making his comments, the General Manager Monitoring and Evaluation, Mr. Silas Omomehin Ajimijaye outlined the robust mechanism the Board deploys in monitoring companies’ execution of oil and gas projects, ensuring compliance with the provisions of the NOGICD Act, and retaining significant value in the economy.
On the impact of divestment of oil and gas assets on Nigerian content compliance, he stated that the transfer of assets to indigenous operators had not impacted negatively on compliance. This is because the Board sustained the compliance protocols it had established with the previous owners. However, the Board, is ready to support successor companies to navigate challenges they might have with compliance, he added.
Speaking further Ajimijaye highlighted the importance of robust research and development initiatives to achieving sustainable local content development. He indicated that NCDMB had developed an R&D roadmap and collaborates regularly with operating companies, service firms, the academia, and other relevant institutions.
Currently, NCDMB has established six centers of excellence in key universities across six zones of the country, while Research and Development Fund has been deployed to support commercialization of viable projects, with 15 research ideas and inventions currently supported to ensure their successful development, he added.
In her contributions, the General Manager, NCDF, Fateemah Mohammed explained that the Nigerian Content Intervention Fund is a dedicated finance scheme that provides single digit financing to Nigerian service companies, enabling them to grow capacities and play key roles in the oil and gas industry.
ALSO READ: Okpebholo Hails Edo Teachers on World Teachers’ Day
Giving insight into the seven products of the NCI Fund, she dwelt on the Community Contractors Fund, which is a N50bn finance scheme designed for contractors in local communities, whereby they can assess up to N100 million, at single digit to execute contracts in the oil and gas industry and grow the local economy. Another unique product is the US$20m Women in Oil and Gas Intervention Fund managed by Nigeria-Export-Import Bank, for deepening the capacities and capabilities of women entrepreneurs and industrialists to fully participate in the Nigerian oil and gas industry.
Recommending similar funding schemes to other African countries, Mohammed disclosed NCDMB’s aspiration to grow the NCI Fund and collaborate with other financial institutions to unlock larger projects and enhance skills development of the populace.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has said that 172 Host Communities Development Trusts (HCDTs) have so far been incorporated by oil and gas companies operating across the country.
The chief executive, NUPRC, Oritsemeyiwa Eyesan, disclosed this while addressing the leadership of the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) in Abuja.
Under the Petroleum Industry Act (PIA), oil and gas companies, referred to as settlors, are required to contribute three percent of their Operating Expenditure from the preceding financial year into a Host Communities Trust Fund for the benefit of communities where they operate.
Eyesan said the NUPRC had been enforcing the provisions of the Act, particularly those relating to host communities and the obligations of operating companies, and had put in place regulations and procedures to streamline the process.
“We have laid out procedures for doing things and we have put regulations in place to streamline the process. So far, we have registered 172 HCDTs and we have been able to manage contributions by settlors,” she said.
READ ALSO: Nigeria Beats 2026 Foreign Reserves Target, Hits $53.1b
She said the trusts had funded the construction of schools, hospitals and other infrastructure, and had contributed significantly to peace and stability in previously volatile communities, which in turn had led to an increase in oil production.
Eyesan, however, admitted that some of the HCDTs had become subjects of litigation over disagreements on the constitution of their Boards of Trustees. She said the Commission had been working to ensure the trusts run smoothly, and that its Alternative Dispute Resolution Centre had played a key role in addressing some of the grievances.
She said that while the RMAFC’s interest in host communities was appreciated, oversight of how the funds are managed remained the exclusive preserve of the NUPRC.
The NUPRC boss also promised to investigate the lingering disagreement between Sterling Oil Exploration and Energy Production Company (SEEPCO) and its host community in Anambra State.
Responding, the chairman of the RMAFC, Dr Mohammed Bello Shehu, commended the NUPRC for overseeing reforms in the oil and gas sector that had contributed to growth in production.
Shehu said the RMAFC regards the upstream oil and gas sector as important, given that it accounts for a large share of revenue accruing to the Federation Account.
He thanked the NUPRC leadership for honouring the RMAFC’s invitation and called for stronger collaboration between the two institutions in the interest of the country.
Data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) shows that crude oil imports by domestic refineries rose by 151.5 percent to 5.13 million barrels in July 2026, from 2.04 million barrels in June.
In a related development, domestic crude supply to refineries fell sharply during the month.
According to the NMDPRA’s July 2026 Midstream and Downstream Statistics, local refineries received a total of 17.88 million barrels of crude in July, comprising 12.75 million barrels supplied domestically and 5.13 million barrels imported.
Imported crude therefore accounted for 28.7 percent of total crude receipts by domestic refineries in July, while domestic supplies contributed the remaining 71.3 percent.
The 5.13 million barrels imported in July represented a significant rebound from the 2.04 million barrels recorded in June. It was also higher than the 2.08 million barrels imported in May and 0.41 million barrels in April.
READ ALSO: Host Community Angry at FG’s Political Undertones on Kolmani Oilfield
However, July’s import volume remained below the 9.43 million barrels recorded in March, the highest monthly volume so far in 2026.
The data showed that crude imports stood at 0.71 million barrels in January before rising to 4.25 million barrels in February and peaking at 9.43 million barrels in March.
Imports subsequently plunged to 0.41 million barrels in April, before recovering to 2.08 million barrels in May, 2.04 million barrels in June and 5.13 million barrels in July.
The report also disclosed that domestic crude supply to refineries declined by 25.4 percent month-on-month, falling from 17.08 million barrels in June to 12.75 million barrels in July.
In January, domestic refineries received 8.83 million barrels of domestic crude and 0.71 million barrels of imported crude, bringing total receipts to 9.54 million barrels.
The figure rose to 13.13 million barrels in February, comprising 8.88 million barrels of domestic crude and 4.25 million barrels of imports.
March recorded the highest total crude receipts at 20.92 million barrels, with domestic supply contributing 11.49 million barrels and imports 9.43 million barrels.
Total receipts stood at 18.37 million barrels in April, made up of 17.96 million barrels of domestic crude and 0.41 million barrels of imports.
In May, refineries received 17.92 million barrels, comprising 15.84 million barrels of domestic crude and 2.08 million barrels of imports, while June recorded 19.12 million barrels, made up of 17.08 million barrels of domestic crude and 2.04 million barrels of imports.
Dangote Petroleum Refinery and Petrochemicals FZE has increased the gantry price of Premium Motor Spirit (petrol) from N1,185 to N1,200 per litre, effective August 26, 2026.
In an official communication to customers issued on Tuesday, the refinery’s Group Commercial Operations announced revised depot prices for gantry and coastal deliveries.
The email, titled ‘PMS Price Change Communication (N1,185 per Litre To N1,200 Per Litre)’, asked customers to take note of the revised DPRP PMS gantry and coastal price, which is effective 26th August 2026.
READ ALSO: US Hails DPRP as Nigeria’s Petroleum Exports Surge Seven Times
According to the table contained in the notice, the coastal price rose from N1,562,265 per metric tonne to N1,582,380, while the gantry price increased from N1,185 to N1,200 per litre.
The refinery further directed customers to return all Authorisation to Collect documents for repricing, adding that a new volume contract would be issued for immediate loading resumption.
“You are advised to return all ATCs for repricing, and a new volume contract will be issued for immediate loading resumption. Should you require any further clarification, please do not hesitate to contact us,” the notice said.
The latest adjustment represents a N15 per litre increase in the gantry price and comes barely days after the refinery raised the price from N1,165 to N1,185 per litre. The previous increase took effect from midnight on August 21, 2026, according to industry trackers.
However, the latest hike comes against a backdrop of falling international crude oil prices. Data from oilprice.com on Tuesday showed West Texas Intermediate crude trading at $82.13 per barrel, down $2.88 or 3.39 per cent, while Brent crude stood at $88.37 per barrel, declining by $3.80 or 4.12 per cent. Murban crude also fell to $92.71 per barrel, shedding $8.73 or 8.61 per cent.
Our correspondent gathered that marketers and depot operators who received the circular might have begun returning existing ATCs for repricing in line with the refinery’s directive.
The N15 increase could result in higher pump prices as oil marketers factor in transportation, landing and other downstream costs. Petrol is expected to return to an average of N1,250 per litre.
The Dangote Group has yet to respond to messages from our correspondent.
The price increase comes at a time of renewed volatility in the international oil market amid the ongoing US-Iran conflict. Reuters reported that oil prices fell as investors viewed the latest US sanctions against Iran as less threatening to global oil supplies than a military escalation. However, analysts warned that the decline could be an overreaction, noting that prices could rise sharply if Iran retaliates militarily.
Reuters also reported that supply disruption risks remained, with only two commodity vessels transiting the Strait of Hormuz on Monday, the lowest daily tally since early May. The waterway handled about one-fifth of global oil consumption before the conflict began, leaving the market vulnerable to further disruptions.
How NNPC Remitted N7.9tn to Federation Account in Seven Months Despite Oil Output Drop
How Two Lagos Men Allegedly Obtained N115m Under False Pretences
2027: Donald Duke Reveals Why He Wants to Be Nigeria’s President
IPPG: 150 African Oil, Gas Projects Stalled
DPRP Uses Court to Restrain NMDPRA from Meddlesomeness
Group Credits PINL with Safeguarding Environment, Farms
Trump’s Family Unveils New Cryptocurrency Platform
Senate Denies Receiving Petitions Against Tinubu’s Ambassadorial Nominees
Dangote Cement Lights Up Benue Host Communities With CSR Initiatives
Reps Recommend 3-year Jail Term For Aviation minister
Tems Sets New Record On Billboard Hot 100 Chart
xghhbs
78kv3y
Nice read, I just passed this onto a friend who was doing a little research on that. And he actually bought me lunch because I found it for him smile So let me rephrase that: Thanks for lunch!
Thank you for any other great post. The place else may just anybody get that kind of info in such a perfect approach of writing? I have a presentation next week, and I am at the look for such info.
You really make it seem so easy with your presentation but I find this topic to be actually something which I think I would never understand. It seems too complex and very broad for me. I am looking forward for your next post, I will try to get the hang of it!
I was reading some of your posts on this site and I conceive this website is really instructive! Retain putting up.
You should take part in a contest for one of the best blogs on the web. I will recommend this site!
I am extremely inspired along with your writing talents and also with the layout in your blog. Is that this a paid subject matter or did you modify it your self? Either way stay up the excellent quality writing, it is rare to see a nice blog like this one nowadays..
There is noticeably a bundle to know about this. I assume you made certain nice points in features also.
Magnificent beat ! I wish to apprentice while you amend your web site, how can i subscribe for a blog website? The account aided me a acceptable deal. I had been tiny bit acquainted of this your broadcast provided bright clear concept
Well I sincerely liked reading it. This subject provided by you is very effective for proper planning.
I want to voice my admiration for your kind-heartedness in support of people that must have guidance on in this area of interest. Your real commitment to passing the message all over turned out to be exceedingly helpful and has in every case encouraged most people just like me to arrive at their dreams. The insightful suggestions denotes a whole lot a person like me and extremely more to my mates. Best wishes; from everyone of us.
I love your blog.. very nice colors & theme. Did you make this website yourself or did you hire someone to do it for you? Plz respond as I’m looking to design my own blog and would like to know where u got this from. appreciate it
Pretty nice post. I just stumbled upon your blog and wished to say that I have really enjoyed browsing your blog posts. In any case I will be subscribing to your feed and I hope you write again very soon!
I’ve been absent for a while, but now I remember why I used to love this web site. Thank you, I¦ll try and check back more often. How frequently you update your web site?