23 October 2015, Abuja – The Federal Government, yesterday, commissioned $150 million, about N30 billion, ultra-modern gas pipeline manufacturing plant.
Speaking during the commissioning of the plant and the roll out ceremony of fabricated NNPC gas pipelines by the company in Abuja, President Muhammadu Buhari disclosed that the Federal Government will continue to promote and protect all efforts targeted at achieving industrial growth and improving the socio-economic development of Nigeria.
Buhari, who was represented by the Secretary to the Government of the Federation, Mr. Babachir Lawal, stated that the plant is a great milestone in a collective effort to promote and increase local content in the oil and gas sector, would fast-track effort at transferring technology and technical capacity to Nigerian engineers and artisans as well as conserve the country’s foreign reserves.
He challenged oil companies operating in the country to, design, develop and produce new specification of pipes that will meet international standard for low pressure and shallow water application in the oil and gas industry.
He said, “Some local companies have placed order for about 100 kilometers of pipelines to SCC which will sustain the employment of Nigerians and create more opportunities for training
He said, “Some local companies have placed order for about 100 kilometers of pipelines to SCC which will sustain the employment of Nigerians and create more opportunities for training.
“Nigerian workers should be happy because once the industry begins to accept made in Nigeria product and place demand on Nigerian pipe mill like the SCC mill, it would just be a matter of time for tens of thousands of job to be generated directly and indirectly from operations of the SCC and other such facilities.”
“In the face of our increasing demands for steel pipes which today stand at 1.2 million tons annually, the SCC pipe mill is expected to satisfy closed to 10 per cent of the nation’s oil and gas pipe demands which is about one hundred thousand tons annually.
“This development is a great mile stone in our collective effort to promote and increase content in the oil and gas sector and to fast-track effort at transferring technology and technical capacity to Nigerian engineers and artisans as well as conserve the much needed foreign exchang.
“I therefore commend the SCC in this regards because having started operation with only 50 expatriate staff a few years ago, today you have about 250 Nigerians employed in the same factory with only four expatriates.
I particularly note your concern about the shortage of steel raw materials in Nigeria; obviously, the comatose Ajaokuta steel company cannot satisfy our need.”