Gas
NCDMB finds few local firms meet equipment manufacturing criteria
Only a fraction of assessed Nigerian companies currently meet the technical standards required to manufacture domestic oil and gas equipment.
Key points
- Only 18 of about 60 indigenous companies met the NCDMB criteria.
- The initiative covers critical components like pumps, valves, and metering solutions.
- The board's strategic roadmap targets 70 per cent Nigerian content by 2027.
What happened
Nigeria faces a substantial industrial capacity gap in its push to manufacture oil and gas equipment domestically, according to a recent assessment by the Nigerian Content Development and Monitoring Board (NCDMB). Nigeria Housing Market reported that out of roughly 60 indigenous companies evaluated, only 18 met the necessary technical criteria to supply the sector.
The findings were disclosed during a stakeholders' meeting in Port Harcourt, Rivers State, by Nander Salmwang, Assistant Manager for Institutional Strengthening in the NCDMB's Capacity Building Directorate. The evaluation forms part of a wider study on local production for equipment such as pumps, valves, flanges, gaskets, bolts, nuts, metering solutions and instrument fittings.
Felix Omatsola Ogbe, the Executive Secretary of the Board, was represented at the gathering by Olugbenga Sheba, General Manager for Institutional Development. Officials emphasised that bridging the gap between local content ambitions and manufacturing realities requires addressing skills shortages, technological constraints and infrastructure deficits.
Why it matters
Translating local-content legislation into active domestic manufacturing is critical for retaining economic value within Nigeria and reducing exposure to foreign-exchange pressures. With the naira reference rate standing at 1325.72 per US dollar (open.er-api.com), heavy reliance on imported oil and gas components places a strain on capital expenditure and operational budgets.
A stronger domestic supplier base could shield operators from import delays and currency volatility, provided local manufacturers can deliver competitive products without compromising safety. However, the NCDMB assessment indicates that regulatory mandates alone are insufficient; domestic suppliers must also secure adequate financing, advanced technology and rigorous quality certification to compete effectively.
What comes next
To achieve the NCDMB's 10-year strategic roadmap target of 70 per cent Nigerian content by 2027, policymakers and industry leaders must scale up structured capacity building and industrial infrastructure.
Future progress will rely on targeted interventions that improve access to finance and forge strategic technical partnerships for local manufacturers. The primary test for the sector will be whether these support mechanisms successfully transform more indigenous firms into certified, reliable suppliers capable of meeting international industry standards.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Gas is the flexible backbone of many grids and the designated transition fuel in many national plans, from LNG trade to domestic LPG and CNG. Supply security and pricing drive both power reliability and emissions.
21.9% of electricity in the world came from gas in 2024Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.