Indigenous firms nearing completion of structures for $16b Egina FPSO project

EWT delivers nine mooring piles

Indigenous oil firms have demonstrated local capacity in the execution of the over $16 billion worth Floating Production Storage and Offloading (FPSO) facility for Total’s Egina oil field project.

The Egina field, when completed, is expected to add 200,000 barrels per day to the national oil production by 2018, while the project will be completed in 2017.

The significant localisation level on the project is directly contributing to building local expertise, facilities and employment in the country.

Already, about 94 per cent of the project’s basic engineering was performed in Nigeria by indigenous companies. For example, a fabricator and manufacturer of pressure vessels, process plant equipment and steel structures in Nigeria, Energy Works Technology Limited (EWT) and a member of the Obijackson Group, has successfully fabricated and delivered nine OLT BOUY Anchor Mooring Piles, each measuring 5m OD x 24m High x 40mm wall thickness and weighing 141 tonnes to Saipem Contracting Nigeria Limited for the Egina UFR Project in Port Harcourt.

The nine OLT BOUY Anchor Mooring Piles were loaded out for delivery via a sail-away process last week in Port Harcourt.Also, a Nigerian oil services company, and a member of Jagal Energy, Nigerdock, had earlier successfully completed the fabrication and sail away of the Flare Tower for the Egina project.

Aveon Offshore Limited also recently announced the successfully completion of the fabrication of six Foundation Support Structures (FSS) for the same project.

Speaking at the commissioning of the OLT Pipes fabricated by EWT in Port Harcourt, the Executive Secretary of the Nigerian Content Development and Management Board (NCDMB), Simbi Wabote, said the achievements of EWT were similar to the performance of other Nigerian service companies on different scopes of the deepwater project.

According to him, it is heartwarming to note that Egina provided a good opportunity for Nigerian companies to demonstrate their capacity and maturity since the enactment of the Nigerian Oil and Gas Industry Content Development Act (NOGICDA) in 2010.

He added that Like EWT, a number of other local service companies have developed and perfected complex capacities on the back of the Egina project. The General Manager, Egina Project Control, Partners and Authorities Relations, Felix Ekam, said local content commitments undertaken by main contractors were always meant to have a trickledown effect on their local partners and subcontractors.

He said: “The true achievement is when we deliver on our commitments despite all challenges faced, and what we are seeing here today is just that – all of us together delivering on our collective promises.

“Of particular importance to us is the fact that EWT was able to complete this work scope safely with zero lost time injury. For Total, safety is a core value, because we believe that nothing can be achieved in our industry without respect for the very highest safety standards.”

The Group Chief Operating Officer, Drilling, Fabrication and Ship Side Repairs, Gabriel Oramasionwu, disclosed that Saipem Contracting Nigeria Limited outsourced the contract for engineering, procurement, construction and installation of the Egina Project to EWT, following the satisfactory fulfillment of the requirements for the award.

He added that EWT was able to sustain employment for over 200 employees. “The achievement is a demonstration that the Nigerian Content Project is viable and its potential impact on the Nigerian economy is significant. The NCDMB will have more statistics to show the great in-country capability and capacity that have been added within the last six years after the NOGICDA 2010.”

The Group Managing Director, Obijackson Group, Ernest Azudialu-Obiejesi, said that the Local Content Act is a success because Nigerian companies, technicians and engineers have acquired expertise, and built capacity that have increased indigenous participation in the Nigerian Oil and Gas sector. “With the Local Content Act, we have made significant progress as a nation and assumed a position of dignity amongst International Oil Companies (IOCs), and other players in the sector, who are the beneficiaries of our first-rate services,” he added..