Shell Awarded $800 Million Worth of Contracts to Nigerian Companies

Shell Companies in Nigeria ((SCIN) has said that it awarded 100 percent of its local contracts worth $800 million to Nigerian companies in 2020.

Shell Country Chairman in Nigeria Mr. Osagie Okunbor, said this recently in Lagos at the Association of Energy Correspondents of Nigeria (NAEC) 2021 Strategic International Conference. According to him loans were also given to Nigerian vendors to help them improve their tendering opportunities.

“In 2020, 100 per cent of Shell contracts, worth $800 million, were awarded to Nigerian companies,” Mr Okunbor said during the NAEC conference which has mythe theme, ‘Petroleum Industry Act: Energy Transition and the Future of Nigeria’s Oil and Gas’.

“SCiN has also provided access to nearly $1.5 billion in loans to 764 Nigerian vendors under the Shell Contractor Support Fund since 2012,” he said.

Okunbor who was represented by Ed Ubong, Managing Director, Shell Nigeria Gas, said there was a need to build capacity for local industries to participate in the supply chain, said “we need to reduce the industry’s reliance on imports and create new markets in-country.

“At Shell, we recognise that local content is key to surviving a post-COVID 19 pandemic world and Shell will continue to invest in this space,” he said.

He said Shell, through joint venture partnership with the government and communities, was investing in a gas portfolio that would increase supply for Nigerian and international customers via an expanding network of plants, pipelines and export terminals.

“We remain committed to building capacity and competence in the country to enable more Nigerians to participate directly and indirectly in the gas value chain and pump more money into the local economy by supporting Nigerian companies,” Mr Okunbor said.

He said harnessing Nigeria’s vast gas resources was key to developing the country.

“Natural gas gives us the ability to lift millions of people out of energy poverty, giving them the power to improve their physical health, wellbeing and standard of living. It also gives us a pathway to economic growth and development.

“This is not only through direct exploration and trading of gas resources but by providing reliable power supply for the manufacturing and industrial sectors which are the major growth engines for developing economies,” Mr Okunbor said.