Nigerian indigenous oil companies have risen to challenge what they considered an attempt by multinational oil companies to edge them out of the nation’s lucrative petroleum industry contrary to the provisions of the Nigerian Content Act.
The aggrieved operators stated in Lagos yesterday they they can no longer continue to play the second fiddle to the international oil firms whom they accused of frustrating their efforts to get a fair share of the oil and gas industry .
Sources close to the agitated local operators told Daily Sun that the latest worry arose from attempts by some International Oil Companies (IOCs) to scheme out Nigerian firms engaged in oil and gas servicing contract.
It was alleged that Nigeria Agip Oil Company (NAOC) and General Electric (GE), were among the many IOCs working to undermine the provisions of  the Local Content Act in respect  of the Maintenance Service Contract for Gas Turbines and Related Equipment for  OBo/Kwale/ Ebocha Gas Plants belonging to the Nigerian subsidiary of the Italian firm, ENI in which ARCO Petrochemical Engineering Company Plc, is a party.
Daily Sun learnt that a five-year contract was awarded by the Board of the Nigerian National Petroleum Corporation (NNPC)  in 2006 to Nuovo Pignone,  with Arco Petrochemical Engineering company Plc, a wholly Nigerian company as the local Technical Partner, for the maintenance of the OBO/Kwale/Ebocha gas plants.
It was however revealed that the Nigerian Agip Oil Company (NAOC) later changed the contract terms and awarded the same contract to GE on its own terms’, an arrangement, that reduced Arco from being a partner to a sub-contractor.
The aggrieved local operators however wondered why Federal Government agencies charged with the implementation of the Nigerian Content policy would standby and allow the multinational companies flaunt credentials of transparent business ethics in their home countries  even when they have the competences to challenge such abuses.
According to them, President Goodluck Jonathan signed the Nigerian Oil and Gas Industry Content (NOGIC) Act into law in 2010, to enable Nigerians play more critical roles in the oil and gas industry but that recent developments appear to be defeating the purpose of the initiative.
They further argued that unless the Nigerian Content Development Monitory Board takes urgent steps to restrain the IOCs, government’s desire to increase indigenous participation in the Nigerian oil and gas industry; build local capacity and competences; create linkages to other sectors of the national economy; and contribute to the growth of our National Gross Domestic Product would be defeated.
They also called on the National Assembly to watch out for practices that are designed to deny the Nigerian operators the opportunity of increasing their participation in the industry and in the process shut out Nigerian youths and experts from the jobs they are entitled to under the Nigerian Content policy.
Meanwhile a source hinted that the NNPC in a letter to the Managing Director of Agip, captioned “NAOC Maintenance Service Contract For Gas Turbines And Related Equipment For OB/OB, Ebocha And Kwale Gas Plants” dated 13 June, 2014, and signed by the Group General Manager NAPIMS, Jonathan K. Okehs, insisted that “NAOC should immediately commence negotiation with Arco Petrochemicals Limited, with a view to awarding a six-month Stop-Gap contract using the manpower loading that was approved for the 2013 Stop-Gap contract.
“NAOC proposal to execute an interim award contract with Plantgeria for a replacement tender of which award recommendation has not been presented for NNPC Board consideration and approval is declined and not approved.”
“NAPIMS will not support any cost expended on NAOC maintenance service contract for Gas Turbines and related equipment for OB/OB, Ebocha and Kwale Gas Plants arising from NAOC execution of such services with Plantgeria (another wholly-owned Italian firm being smuggled by Agip and GE to undo the Nigerian Arco).
It is very clear that the Nigerian Agip Oil Company (NAOC), a subsidiary of the Italian transnational oil giant, ENI has left out the substantive issues in its breach of the Nigerian Content Act and has been covertly manipulating due processes and rule guiding their operations.
Multinationals that do business in Nigeria are most welcome but they must learn to play by the rules and not continue to carry on as if to confirm the impression that Nigeria is a country where anything goes and where any regulator could be compromised provided the price is right.

Indigenous firms battle IOCs over gas maintenance contract