The Federal Government has banned the importation of oil pipelines into Nigeria. This move is aimed at supporting local manufacturers and creating jobs in the country.
Focus shifts to local production
The Minister of Petroleum Resources (Oil), Heineken Lokpobiri, announced the ban during the opening of a new pipeline coating facility by Monarch Alloys in Ikorodu, Lagos.
He said that Nigeria should no longer depend on foreign-made pipes, especially those from China, when capable local alternatives exist. He also directed the Nigerian Content Development and Monitoring Board (NCDMB) to stop giving waivers for importing such products.
Support for Nigerian businesses
Lokpobiri praised Monarch Alloys for investing in the industry and said more local companies should be supported. He warned that if Nigerian firms are not patronised, they could shut down due to lack of demand.
“We are ending the era of dumping foreign pipes in Nigeria,” he said. “Buying from local companies means jobs and economic growth stay within the country.”
He also stressed the importance of building a strong oil and gas industry that can serve not just Nigeria but other African nations.
Old pipelines a challenge
The minister noted that Nigeria has the capacity to produce 3 million barrels of oil per day, but ageing pipelines, some over 60 years old are holding back progress.
He encouraged new investments in midstream and downstream sectors and promised government support to firms that help upgrade the nation’s oil infrastructure.
Monarch Alloys’ plans for growth
Atul Chaudhary, CEO of Monarch Alloys, said his company now produces pipes locally and no longer relies on imports. The factory was completed in less than two years and can produce up to 500 pipes per day.
The company also has an annual capacity of 2 million square metres of coating.
NCDMB backs local content
Felix Ogbe, Executive Secretary of the NCDMB, said the new facility shows how far Nigeria has come in developing local skills. He praised the project as proof that private investment can match the nation’s goals.
“We are proud that this facility was designed, built and completed in Nigeria,” Ogbe said. “It proves our capacity and strengthens the value chain in the oil and gas industry.”
