20 October 2017, Sweetcrude, Lagos — Saipem, a global leader in drilling services, engineering, procurement, project management, construction and installation of pipelines and complex projects onshore and offshore in Nigeria’s petroleum industry has been described by the Minister of State for Petroleum Resources, Dr. Ibe Kachukwu as a reccurring decimal during bidding exercise.
Dr. Kachukwu stated this when the company marked its 50th-anniversary operations in Nigeria at the weekend in Lagos.
The event was graced by former Minister of State for Petroleum Resources, Henry Odien Ajugomobia, Business tycoon, Aliko Dangote, top dignitaries and traditional ruler.
Kachukwu said: “50 years in Nigeria is a lot of years and anybody who does business in Nigeria will tell you that it is a tough zone. No better time than now for a company like Saipem to wax stronger.
“When I was in the oil industry in the private sector, Saipem was a reccurring decimal when there are bids. There are worries that Saipem ended up winning those bids.
“The reality is that the bid system allows for efficiency, it recognises capacity, it recognises your ability to raise financing and in these areas Saipem is outstanding.”
The Minister explained that the oil industry is opening in ways unimaginable stating that the challenges of pricing, cost of production, shale oil, market and new technologies are creating unbelievable dynamics for companies that can survive today and be in place for tomorrow.
“Only companies that are very strong in engineering and very strong perspective in terms of where they are going will make it into the oil industry of tomorrow,” he said.
He urged Saipem to move from contracting to Exploration and Production, investment in refineries, continue its training policies, develop oil producing communities and take along younger companies.
The Executive Secretary of Nigeria Content Development and Monitor Board, NCDMB, Simbi Wabote in his speech said Saipem has grown into an octopus in Nigeria’s petroleum industry through the various projects they handled and have delivered on time since its creation.
Wabote added that Saipem has shown commitment to the development of Nigeria and petroleum industry over its 50 years of operation.
“When oil price was above $100 per barrel, you were here, when it dropped below $10 per barrel, you remain here. Now that it appears that dollar per barrel is stock within the 50s and some are saying it will stay within this range for long or even forever, you are still here and remain committed to Nigeria,” he said.