Shell unveils $15b five-year investment plan | Nairalaw

The Shell Petroleum Development Company (SPDC) has unveiled a
$15 billion investment in the oil and gas sector in the next five
years.

Its Managing Director, Osagie Okunbor, broke the news at the
second edition of the Nigerian Oil and Gas Opportunity Fair (NOGOF)
organized at the weekend by the Nigerian Content Development and
Monitoring Board (NCDMB) in Yenagoa, Bayelsa State.

He said the company was keen at expanding local content in the
oil and gas sector.

Okunbor said the proposed $15 billion investment would bring
huge benefits to the country and its people in terms of contracts
and jobs, among other benefits in line with the theme of NOGOF:
“Maximising Oil & Gas Industry for the benefit of the Nigerian
people”.

He said: “These remain exciting times for Nigeria as Shell along
with its partners will be maturing several projects in support of
Nigeria’s growth ambition.

“A cocktail of policies and the active support of government and
its agencies like NCDMB have made these investments possible. The
industry continues to witness improve cycle times with NCDMB.

“We have an investment portfolio of over $15 billion over the
next five years. Shell’s investments will bring huge benefits to
the country and its people – contracts, jobs, thus underscoring the
theme of this year’s NOGOF.”

Okunbor said that Shell recently announced the Final Investment
Decision (FID) on the 300 million (cubic gas per day) Assa North
Ohaji (ANOH) gas development project in Imo State.

He said on completion, the project is expected to generate circa
1200MW to power circa 1.2m homes (1MW – 1000homes) by supplying gas
into the domestic gas market.

The SPDC chief added: “We also issued Invitation to Tender (ITT)
for Bonga South West Aparo (BSWA) and as a shareholder in the NLNG
Train 7, we are on track for FID later this year.

“In addition to these, we are also maturing several sizeable
projects planned to start within the next five years with 28
projects covering export gas, domestic gas and oil projects spread
across deep offshore, shallow water, swamp and land terrains.

“Benchmark for all these projects is to meet and where possible
surpass the 70 per cent Nigerian content target set for BSWA.”

He listed other projects as the construction of over 200 wells;
1000 km of flowlines and bulk lines; subsea umbilicals, risers and
flowlines (SURF); jackets, platforms, hull and manifolds.

Others are major oil and gas facility modifications and upgrades
both onshore and deep water and at least 4 gas compression
projects.

He said: “Employment opportunities are huge, not to mention the
spin-off in allied services. These projects also offer huge
capacity building opportunities in the delivery of Human Capacity
Development (HCD) training, increased community content/
participation, in-country fabrication, increased utilisation of
Nigerian vessels, re-skilling of Nigerians to take up more roles in
shallow and deep-water operations and technology transfer.

“Beyond the project phase, on completion, these projects will
offer significant brownfield opportunities in asset maintenance,
logistics, among others.”