BG Technical Limited, 100 per cent indigenous firm has completed and inaugurated first pipeline, pigs and accessories factory in Nigeria and West Africa.
The inauguration of the factory located in Owerri, Imo State, was performed at the weekend by the Acting Executive Secretary of Nigerian Content Development and Monitoring Board (NCDMB), Mr. Patrick Daziba and the Group General Manager of the National Petroleum and Investment Management Services (NAPIMS), represented by Mr. James Jock.
The factory is expected to generate foreign exchange for Nigeria and help to provide quality products for the maintenance of pipeline so as to prolong life span and reduce cases of pipeline rupture as well as leakages.
The Executive Secretary of NCDMB, represented by the Director of Monitoring and Evaluation Mr. Tunde Adelana disclosed that the multibillion Naira factory was another evidence and validation that the efforts of the board was paying off in real terms in the oil and gas industry. This, he said is another attestation to the fact that Nigerians can develop the required industry capability once the enabling environment is in place.
“The opening of the factory is indeed worthy of celebration. Looking back at the years of pre-NOGICD Act, investors like B.G Technical would probably not be able to compete in the area of pigging services due to the preponderance of foreign goods and services,” he noted.
“ I would like to encourage other companies across sector to always strive to develop their capacities and capabilities-human and structural-as the focus of local content development is not to compromise quality but to ensure that work done by local companies can compete with that of their counterparts in any part of the world,” he added.
In his speech, Jock, said NNPC had the mandate to utilise local resources in the execution of projects in the upstream sector in line with the NOGIC Act.
“ My commitment from NAPIMS is that we are going to support B.G Technical so that the investment made to domesticate technology and create jobs in-country would not go down the drain,” he said.
The Chairman of Petroleum Technology Association of Nigeria (PETAN), Bank-Anthony Okoroafor said the opening of the factory owned by one of the members was a plus for the association as frontline in the push for domestication of technology in Nigerian oil and gas industry.
He said the association was happy with one of the members making such a huge investment as the only way to empower Nigerians.
“This is the only way Nigeria can grow her gross domestic product (GDP), preserve the foreign currency earnings and create jobs for the populace. It is an exciting time and PETAN will continue to dedicate time and resources needed to promote domesticate technology,” he assured.
In his remarks, the General Manager, Nigerian Content, Shell Petroleum Development Company Mr. Chiedu Oba commended the management and staff of B.G Technical for the commitment towards the establishment of the factory with huge resources at a time of economic downturn.
Earlier in his address, the Managing Director B.G Technical, Mr. Geoff Onuoha said the factory was initiated to bring an end to the importation of pipeline pigging products, boost availability of mainly quality products and help to preserve foreign exchange earnings for operators and the federal government.
Onuoha lamented that the challenge facing indigenous manufacturers in Nigeria was that it was cheaper to transport goods from United Kingdom (UK) to Gabon than from Nigeria to Gabon because of the bottlenecks of export from getting regular transport.
“Between UK and Gabon there are possibly three to four cargo flights a week. While between Nigeria and Gabon there is no cargo flight. So, cargo flight drops your cost drastically. Those are things that count and I believe with time those factors militating against us will become a thing of the past overcome,” he added.