TotalEnergies has improved its Nigerian content in its various projects, and has achieved a 95% local participation on its IKAN project, with the Ubata initiative poised to raise the bar further
The company's deputy general manager, Nigerian Content, Cyprian Ojum, who made the announcement, said the achievement demonstrates that local expertise can deliver complex oil and gas initiatives to international standards.
Speaking at the 9th Nigerian International Energy Summit (NIES) in Abuja on Monday, Ojum emphasised that local content is a strategic priority, not just a compliance checkbox.
He stated that the Nigerian Oil and Gas Industry Content Development Act of 2010 is clear: every operator must treat local content as an operating philosophy, focusing on retaining value locally.
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"This week, we are discussing content as a strategic priority. We are here to tell a story, one that centres on local consciousness. This is not about ticking a compliance checkbox or fulfilling a political obligation. It is about having a deliberate plan," Ojum said.
"The Nigerian Oil and Gas Industry Content Development Act of 2010 is very clear; every operator, alliance partner, project promoter, contractor, or any entity involved in monitoring the oil and gas industry in Nigeria must treat local content as an operating philosophy."
"From the moment a project is conceived, the key question becomes: what quantity of value will be retained locally at the end of this project?
That is precisely how local content is defined under the 2010 Act. Project design must therefore be driven by value retention."
Ojum explained that early project stages involve extensive iterations with the Nigerian Content Development and Monitoring Board (NCDMB).
"We make multiple visits to the NCDMB and sit with the Project Certification and Operations Department to review and refine our Nigerian Content Plan."
He noted that the Act covers 17 service categories and over 300 subsections, with defined minimum and maximum local content thresholds for activities such as fabrication, construction, procurement, installation, transportation, drilling, and mud services.
Beyond compliance, Ojum stressed the importance of building in-country expertise and retaining value. He cited the Agena project as a prime example of capacity building.
"Take the Egina project as an example. Capacity development was deliberately built into the project through infrastructure investment. When LADOL and the Samsung-LADOL collaboration were referenced earlier, they directly speak to TotalEnergies' commitment. The largest FSO in Nigeria was delivered through this project."
"Within the Egina project alone, about 200 Nigerians were trained in critical skills that are actively deployed across the industry today, not only within TotalEnergies but also across other companies. Today, Egina contributes nearly 10 per cent of TotalEnergies' global production. That level of impact underscores the scale of value created in Nigeria.
"TotalEnergies' approach pillars include human capacity development tailored to industry needs, value retention by prioritising local creation, and collaboration with local contractors and NCDMB to meet thresholds.
Highlighting Ikike's success, Ojum said the company remains committed to pushing boundaries, with the Ubeta project set to further advance local content. His remarks underscore the role of local content in driving Nigeria's energy sector growth and sustainability.