Powering offshore sector with local content, indigenous expertise

Oil field

Sir: Nigeria’s maritime sector plays a critical role in sustaining offshore oil and gas operations, serving as the logistical backbone that supports exploration, production, and field development activities far from shore.

Beyond energy operations, the sector is closely tied to national security, employment, and economic growth, with marine assets and skilled seafarers enabling safe navigation, supply chain continuity, and operational efficiency across Nigeria’s offshore terrain.

Yet achieving strong local content success in this niche sector remains a significant challenge, particularly in Nigeria, despite being Africa’s largest economy offshore sector. For decades, this sector was largely dominated by foreign marine logistics companies.

While their presence ensured operational continuity, it also created significant gaps in local participation—particularly in vessel ownership, technical know-how, and the development of Nigerian seafaring talent.

Indigenous involvement was often limited, and critical expertise remained largely external to the local economy.

According to the Nigerian Content Development and Monitoring Board (NCDMB), indigenous participation in offshore services was below 20 per cent prior to the 2010 Nigerian Oil and Gas Industry Content Development (NOGICD) Act, with foreign-owned companies dominating vessel operations, platform support, and specialised maritime roles.

This reliance on foreign operators not only resulted in capital flight but also restricted the transfer of technical expertise to Nigerians, slowing human capital development in the maritime sector.

The premise is straightforward: when Nigerian professionals and companies are trained, empowered, and equipped with access to capital and operational frameworks, they can scale, compete internationally, and contribute significantly to both sector growth and national development.

Strengthening local content in offshore services means developing skills, owning assets, and retaining economic value — far beyond simplistic compliance with regulatory requirements. This is particularly critical at a time of mounting economic pressure and demographic urgency.

With a population exceeding 230 million and a high youth unemployment rate, Nigeria’s economic future depends on scalable, sustainable job creation. Local content development, particularly in capital-intensive sectors like energy and engineering, plays a vital role in this journey.

According to the Nigerian Content Development and Monitoring Board (NCDMB), local content in the Nigerian oil and gas industry has surged from just 5 per cent in 2010 to an impressive 56 per cent in 2023. This increase has created over 50,000 direct jobs and retained more than $8 billion yearly within Nigeria’s economy. This progress has translated into thousands of jobs, increased vessel ownership, and greater retention of value within the local economy.

Leading this transformation is Tamrose Limited, a leading indigenous marine logistics and offshore support services company delivering offshore security patrol, and full-fledged Offshore Support Vessels (PSV, AHTS, MPSV etc) in support of E&P operations among other marine support solutions to Nigeria’s offshore oil and gas industry.

Since its transition into marine logistics in 2010 with the acquisition of its first vessel, TMC Primus, Tamrose has maintained a strong focus on operational excellence, local capacity development, and world-class service delivery rooted in fully Nigerian ownership and management. Guided by a people-first culture of safety, integrity, teamwork and excellence, the company has set new benchmarks in the offshore support sector.

In alignment with the objectives of the NOGICD Act, Tamrose has prioritised human capital development as a core pillar of its local content strategy. A flagship initiative is the Tamrose Cadetship Training Scheme, designed to address the longstanding shortage of Nigerian seafarers with internationally recognised certification and sea-time experience.

Through structured training and onboard exposure, the programme has enabled over 100 Nigerian cadets to receive training and certification in line with global maritime standards, equipping them for long-term careers in offshore operations. Beyond skills acquisition, this initiative is helping to build a sustainable pipeline of indigenous marine professionals capable of supporting Nigeria’s offshore industry and beyond.

Further reinforcing its commitment to indigenous capacity and asset ownership, Tamrose strategically accessed the Nigerian Content Intervention Fund (NCI Fund) in 2019. At the time, the company operated just four security patrol vessels. The US$10 million facility, provided by the NCDMB, enabled Tamrose to expand its fleet and operational footprint significantly.

Today, with operations in Nigeria and Angola, the company operates 15 modern offshore support vessels, comprising ten security patrol vessels and five platform supply vessels, all purpose-built to meet stringent safety, reliability, and efficiency standards required for offshore operations.

As Nigeria continues to position itself for long-term energy security and economic diversification, the maritime sector remains a critical frontier.

Ambrose Ovbiebo, executive chairman, Tamrose Limited, wrote from Lagos.

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