Senator Natasha Akpoti-Uduaghan, the Chairman of the Senate Committee on Local Content, recently announced the Nigerian National Petroleum Company Limited’s plans to develop five mini-liquefied natural gas (LNG) plants in Ajaokuta Local Government Area of Kogi State. This significant development was shared during the Practical Nigerian Content Forum held by the Nigerian Content Development and Monitoring Board in Bayelsa State. The senator emphasized that this initiative represents the largest concentration of mini LNG projects in a single district throughout Nigeria and is expected to be inaugurated early next year. Akpoti-Uduaghan expressed gratitude to NNPC and industry experts for focusing on Ajaokuta, highlighting the promising prospects this project holds not only for the local community but for Nigeria as a whole.
The senator elaborated on how these LNG plants could serve as a catalyst for technological advancement in the region. Akpoti-Uduaghan envisions Ajaokuta as a potential technology hub for innovation and research, particularly in metallurgy and its applications within the industry. She emphasized the unique opportunity to utilize Ajaokuta’s resources and location to drive brainstorming sessions and testing related to various metals. This focus on local resource development aligns with Nigeria’s broader goals of enhancing local manufacturing capacities and reducing dependency on imported goods, fostering a self-sustaining industrial environment.
Akpoti-Uduaghan also addressed the revival of the moribund Ajaokuta Steel Company, revealing that the Federal Government is laying plans to engage the original constructors of the steel plant to renovate and sustain its operations. She credited President Muhammadu Buhari for his political commitment to revitalizing the steel company, which had long been dormant. The senator indicated that several memoranda of understanding (MoUs) had been established, with the original builders, Tyajz Prom Export, expected to start their work in the first quarter of the coming year. This revitalization is seen as crucial for Nigeria’s capability to produce essential machinery and components utilized in the oil and gas sector, potentially stimulating economic growth and job creation.
Highlighting the economic implications of local production, Akpoti-Uduaghan underscored the financial burdens associated with the current rig operations in Nigerian waters. With the cost of rigs ranging from $10 million to $25 million, she pointed out that much of this expenditure stems from the steel components essential for rig manufacturing. She posed a provocative question regarding the potential savings and job creation if Nigeria could manufacture its own rigs domestically, advocating for the importance of local capabilities to foster economic resilience and independence in the energy sector.
In conjunction with these developments, the Minister of Power, Adebayo Adelabu, emphasized the importance of stable electricity supply in supporting the growth of critical industries such as oil and gas, manufacturing, and digital services. Represented by Abubakar Haruna from the power ministry, Adelabu remarked on the government’s role in establishing a reliable foundation for the economy, which is vital for the competitiveness of local industries. The minister acknowledged recent progress made within the power sector, stressing that a robust electrical infrastructure is paramount for the successful implementation and sustainability of new industrial projects, including those in Ajaokuta.
Together, these initiatives reflect a broader vision for revitalizing Nigeria’s industrial landscape through local resource development and technological advancement. The establishment of the mini LNG plants and the revival of the Ajaokuta Steel Company signify strategic moves toward enhancing local content, fostering job creation, and significantly contributing to the nation’s economic diversification. Through these efforts, Nigeria aims to reduce its reliance on foreign imports and establish itself as a self-sufficient economic power, ultimately benefiting future generations with improved industrial capacities and job opportunities.
