News
Shell, Six Others Commit N9.8tr To Fund Local Contractors
As part of strategies to boost indigenous companies’ participation in the Nigerian oil and gas industry, Shell Exploration and Production Companies in Nigeria, five reputable banks and an American international financial institution have pulled together $6billion (approximately N9.8trillion) as funding commitment for local medium and large scale enterprises desirous of adding internal value to the lucrative industry.
First Bank Nigeria, Access Bank, CITI Bank Nigeria, Fidelity Bank, and Standard Chartered Bank, as well as DLR Integrated Business Services, which provides international financing and procurement services for local content providers, are partnering Shell joint venture to ease indigenous companies’ access to critical funds to finance huge procurement and manufacturing contracts in the oil and gas industry.
The Tide gathered that each of the five prestigious banks have dedicated $1billion to fund local contractors while DLR Integrated Business Services, with head office in New York, United States, has guaranteed $1billion international financing and procurement window, with a solid commitment to link Nigerian contractors with big-time equipment and products manufacturers as an instrument of facilitating sustainable partnerships for growth.
Chairman, Shell Companies in Nigeria, Mutiu Sunmonu said last Saturday in Port Harcourt while launching the Shell Contractors Support Funding Scheme that the initiative derives from the success of the year-old N4.5billion Shell Kobo Fund for community contractors.
Sunmonu said that the $6billion SME support funding commitment would enable local contractors to leverage hard-to-access international financing for big procurement and manufacturing contracts, adding that “this initiative will place Nigerian contractors at the front line for quality service delivery in the oil and gas industry.”
According to him, “in 2010 alone, Shell awarded contracts worth more than $947million to Nigerian companies” while “in 2011”, the company upped “the value of contracts to local contractors to $1.4billion”, representing about 93 per cent of the overall number of contracts and amounting to about 68 per cent of value of contracts awarded to third parties to date.”
He said that in the past, “financing of projects has traditionally been a major challenge to contractors’ growth and participation in the delivery of goods and services to the oil and gas industry,” and hoped that with the new dedicated fund, “financing difficulties will be greatly reduced.”
“The banks have committed to relaxing the collateral security requirement, reducing interest rates and establish their competitive advantage so as to become global players,” Sunmonu stressed, adding that he was looking forward to a day when Nigerian contractors will become major services suppliers to the Shell Group.”
While thanking the banks for partnering Shell to provide this launching pad for indigenous contractors, the Shell Nigeria chair charged participating local companies to play by the rules and apply the funds to agreed-upon projects while commending the Federal Government for initiating positive the reforms in the industry, particularly the local content law, pledging Shell’s commitment to fostering greater opportunities for Nigeria and Nigerians in the oil and gas industry.
In his remarks, Executive Secretary, Nigerian Content Development and Monitoring Board (NCDMB), Ernest Nwapa catalogued the pioneering role Shell was playing in developing local content in Nigeria, saying that “if other international oil companies (IOCs) commit just 50 per cent of what Shell is investing in developing local content, Nigeria oil and gas industry would lead the way in helping the Federal Government achieve its Vision 202020.”
Represented at the event by Engineer Gina O. Gina, the NCDMB boss challenged other IOCs to emulate the giant strides Shell was making in assisting government and Nigerians realise the vision of indigenous inclusiveness and participation in the industry as a veritable means of restoring peace and investors’ confidence while creating more jobs, wealth and sustainable prosperity in the country.
Also speaking, the Group General Manager, National Petroleum Investment Management Services (NAPIMS), Morrison Fiddi, pledged the commitment of the joint venture partners to create enabling regulatory and operating climate for local companies in the industry to thrive and compete more favourably with their global counterparts.
The GGM, who was represented by Joseph Ehijiator, lauded Shell for the initiative, and appealed to indigenous companies to leverage the funds to increase their contributions to national development.
In their separate speeches, representatives of the partnering banks expressed untiring commitment to the scheme, pledging the unleash their global financial reach and capacity in ensuring that local contractors working for Shell access required funds to finance any contracts in line with the memorandum of understanding (MoU) guiding the initiative.
Responding on behalf of participating contractors, Managing Director, Skyward Resources Limited, Hon Enahoro Eta, showered encomium on Shell for the opportunity, and expressed optimism that the fund would enhance their participation and ability to deliver required services in-country.
Highlight of the event was the signing of the MoU for the scheme by Sunmonu on behalf of Shell while First Bank’s Group Head Energy, Institutional Banking, Olalekan Adelekan; Vice President Eastern Region Global Subsidiaries Group, CITI Bank, Theresa Evuleocha; Group Managing Director, Access Bank, Aigboje Aig-Imoukhuede; Managing Director, Fidelity Bank, Reginald Ihejiahi; Deputy Managing Director, Standard Chartered Bank, Ade Adeola; and President, David L. Ross & Associates, David L. Ross, signed on behalf of their financial institutions.
Nelson Chukwudi
The Rivers State Chief judge, Justice Simeon Chibuzor Amadi has granted pardon to six inmates standing awaiting trial at the Port Harcourt maximum correctional center.
The six lucky inmates granted pardon on Tuesday by the state Chief Judge included Nwekeala Chizoba, Samuel Emmanuel, Aniete Kelvin, Ebube Fubara and Goddey Okpara who were on awaiting trial as murder suspects and have all spent between 10 years to seven years in the custody without a proper information filed against them in the court.
Justice Amadi during a special gaol delivery exercise last Tuesday at the Port Harcourt Maximum Correctional Centre opined that the special gaol delivery was part of activities lined up to commomerate the 2024/2025 legal year in the State and restated the commitment of the state judiciary in decongesting the correctional centre and ensuring that those inmates who are not supposed to be there are removed from the custody.
The state chief judge stressed the need for all stakeholders to work together to build a society that supports rehabilitation and gives a second chance to anyone or group of people who have fallen short of the expectation of the law and have been punished accordingly.
He stressed that the National Judicial Council(NJC) encourages judges to pay more attention to criminal matters to enable them to decongests the correctional facilities, noting that since his assumption into office, his administration has been able to reduce the number of inmates in Nigerian Correctional Centres and the Port Harcourt Correctional Centre in particular, to less than 2,000 as against the over 4,000 inmates previously in the faculty.
According to him, “as they release the deserving inmates, they affirm their commitment to justice, compassion and rule of law but that they must not forget the fundamental principles of justice delivery system which is truth and fairness, integrity and equality before the law.”
I encourage you all the released inmates to return to your families and become better citizens. You must not engage in action that will return you all back to prison. Let me say that while the judges show empathy to you all, it does not absolved individuals from being held accountable for actions against individuals, corporate organisations and state which the law frowns at, ”he stated
The Chief Judge thereafter stood down the exercise to enable the DPP to intervene to case files following the fact that majority of the persons listed to benefit from the exercise are facing murder charges and adjourned to a date that will come before December.
Earlier in his goodwill message, the outgoing state Comptroller of Nigerian Correctional Centre, Port Harcourt, Felix Lawrence, who was recently promoted to the rank of Assistant Controller General, commended the state judiciary led by Chief Judge, Justice Simeon Chibuzor Amadi for their continuous effort aimed at ensuring justice and decongesting the facilities.
Other activities lined up for the event included special church service at St Paul’s Cathedral , Anglican Communion, Rebisi Port Harcourt, inspection of guard of honour by the state Chief Judge mounted by officers of the Nigerian police and a special court session held at the ceremonial court hall.
By: AkujobiAmadi
The Director General of Rivers State Bureau on Public Procurement (RBoPP), Dr. Ine Briggs, has explained that the Sir Siminalayi Fubara administration plans to enforce transparency in governance through public procurement.
Speaking at a one-day Public Procurement Enlightenment workshop organised in collaboration with the State Local Government Service Commission for newly elected chairmen, vice chairmen, secretaries and leaders of legislative assemblies, Dr. Briggs said it is key for grassroot development.
She stated that the Sir. Fubara administration plans to reduce wastage and at same time infuse efficiency in public expenditure.
The RSoPP DG said the local government political office holders remain key drivers in the new vision hence the workshop is to arm them with knowledge on how to execute projects in tandem with needs of the people.
“ Your role in the prudent management of public resources is, therefore, not just administrative it’s the cornerstone of delivering the dividends of democracy. Every procurement decision you make must reflect a commitment to fairness, transparency and accountability” Dr. Briggs submitted.
One of the key goals of the administration she further reminded the participants was to use their offices to foster economic growth through public procurement.
She warned that the law establishing the agency empowers it to penalise defaulters, but that what is more important is voluntary compliance to the laws.
In addition to that, she said urged the local government council leaders that champion the practice and implementation of public procurement law.
On his part, Acting Chairman of Local Government Service Commission, Pastor GoodLife Ben Iduoku averred that the aim of the workshop is to arm key stakeholders in the local government system to generate new ideas, innovation and strategies in tandem with government policies and programmes.
The workshop dealt on various topics on procurement planning, methods, Understanding Bid Process, including types of Construction Contracts and law.
Some participants were awarded excellence and meritorious awards as part of the programme.
By: Kevin Nengia
The 19th anniversary of the National Association of Proprietors of Private Schools (NAPPS), Rivers State Chapter, recently ended in Port Harcourt in grand style, with participants from various schools including proprietors, the academia, civil society groups and top government functionaries charting the way forward for educational improvement.
The 19th NAPPS anniversary christened, ‘Innovation and Adaptation: Transforming Challenges Into Opportunities’ was held at Casoni Hotels, Port Harcourt.
In his remarks, the Chairman of the Rivers State Chapter of the association, Dr. Jaja Adafe Sunday expressed gratitude to the members and executives for their untiring efforts towards the achievements of the body.
He sought the intervention of government on the lingering crisis on the economy as it is affecting the running of schools.
He decried high cost of things including fuel and raw materials which has adversely affected the running of schools and payment of teachers.
Dr. Sunday hinted that the current economic situation in the nation is biting hard on the operations of schools, saying inflation, removal of fuel subsidy, fuel scarcity, poor electricity supply, tariffs and lack of government grants are some of the challenges faced by schools, and urged the members to brace up to the challenges, as it is the panacea to building a brighter future.
Guest speakers from the health sector and the academia thrilled the gathering on the essence of basic education which they said is the key to national development.
Former Dean of the Ignatius Ajuru University of Education, Professor Azuru and the Chief Medical Director of Meridian Hospitals, Dr. Odo Iyke were some notable guest speakers who delivered lectures at the occasion.
Some distinguished proprietors also got special recognitions and awards.
The 19th anniversary cake was cut by the Rivers State NAPPS Chairman with representatives of the state government assisting.