The Nigerian Content Development and Monitoring Board (NCDMB) has warned operators in Nigeria’s midstream oil and gas sector to strictly comply with the Nigerian Oil and Gas Industry Content Development (NOGICD) Act 2010 or face sanctions, including project suspension, withdrawal and possible criminal prosecution.
The Board also reiterated that the Nigerian Content Equipment Certificate (NCEC) is processed free of charge, stressing that the use of intermediaries or “middlemen” in obtaining the certification is prohibited. It further cautioned that expired, misapplied, or improperly used NCECs will automatically disqualify companies from participating in tenders.
These directives formed the core of discussions at the NCDMB Sensitisation Workshop for Midstream Companies and Stakeholders, held in Lagos on Friday, where the Board deployed a multi-directorate technical team to strengthen compliance awareness across Nigeria’s rapidly expanding midstream segment.
The workshop, themed “Compliance with the Provisions of the NOGICD Act 2010: The Path to Industrialisation,” was organised by the Monitoring and Evaluation Directorate, with technical contributions from the Project Certification and Authorisation Directorate, Capacity Building Directorate, and the Planning, Research and Statistics Directorate.
Opening the session, the Acting Director of Monitoring and Evaluation, Mr. Omomehin Ajimijaye, said the Lagos engagement reflects the Board’s growing emphasis on extending Nigerian content enforcement beyond the upstream sector.
According to him, the midstream and downstream segments must now play a stronger role in expanding local value creation across the industry.
“Today’s workshop is one of our key platforms for deepening engagement with the midstream sector. Our focus is not limited to upstream operations. We are committed to ensuring that midstream and downstream stakeholders are fully integrated into the Nigerian content growth agenda,” Ajimijaye said.
He conveyed the appreciation of the Executive Secretary of NCDMB, Engr. Felix Omatsola Ogbe, to participants, describing them as strategic partners in the Board’s mandate to deepen local participation in the oil and gas sector.
Ajimijaye outlined four key objectives for the workshop: enhancing understanding of the NOGICD Act, clarifying statutory reporting templates, addressing compliance challenges unique to the midstream sector, and strengthening collaboration between regulators and industry operators.
“Your feedback is critical as we move towards our collective target of achieving 70 per cent Nigerian content. This requires partnership, transparency and mutual understanding,” he added.
The Director of Capacity Building, Engr. Abayomi Bamidele, reminded participants that the NOGICD Act requires operators and contractors to prioritise Nigerian employment and training across all oil and gas projects.
He noted that any project or contract valued at $1 million and above must submit an Employment and Training Plan for approval by the Board.
Bamidele also highlighted the NCDMB Field Readiness Initiative, which aims to address workforce gaps created by retirements and migration while opening industry opportunities to graduates and technical professionals through the NOGIC Joint Qualification System (JQS) portal.
Reinforcing the Board’s compliance stance, he stressed that NCEC certification carries zero processing fees, middlemen are not allowed in the process, and companies must own certified equipment rather than lease them to qualify.
Providing further clarification on certification procedures, the Supervisor in the Project Certification and Authorisation Directorate, Mr. Elvis Ogede, explained that operators are legally required to submit a Nigerian Content Plan in line with Sections 7 and 8 of the NOGICD Act before executing projects.
“Operators must set measurable Nigerian content targets based on existing local capacity. These are not aspirational figures — they are achievable commitments,” he said.
Ogede outlined five mandatory engagement stages with the Board during project development, including submission of the Nigerian Content Plan, approval of sole-source contracting strategies, review of invitation-to-tender documents, participation in bid openings, and submission of technical and commercial evaluation reports prior to issuance of the Nigerian Content Compliance Commitment (NCCC).
He clarified that the NCCC should not be mistaken for proof of past compliance.
“It is not a certificate confirming that you have complied. It is a binding commitment outlining what you will deliver — and the Board will monitor performance against that commitment,” he said.
Ogede also warned that Memoranda of Association can no longer substitute for valid NCEC documentation, adding that expired certificates automatically disqualify companies from procurement processes.
“Service-specific certification is mandatory. You cannot use a consultancy NCEC for fabrication work and expect to remain qualified,” he said.
The Deputy Manager of the Midstream Monitoring Division, Mr. Damola Aderibigbe, explained that the Board operates a comprehensive monitoring framework covering performance, compliance and intervention monitoring across upstream, midstream and downstream operations.
“We do not only monitor activities — we measure performance against commitments made by companies,” he said.
He noted that companies are required to submit 14 statutory compliance reports, warning that late or incomplete submissions remain the most common regulatory violations.
Aderibigbe further emphasised that engineering firms engaged in oil and gas projects must possess corporate accreditation from the Council for the Regulation of Engineering in Nigeria (COREN) rather than relying solely on individual staff certifications.
“Where companies fall short of compliance, remediation measures will be required. Suspension, legal action or even project withdrawal may follow. However, the Board’s priority is to enable business through compliance, not conflict,” he said.
Providing data insights from the Planning, Research and Statistics Directorate, Mr. Emmanuel Paulker revealed that the NOGIC JQS portal currently hosts over 406,000 individual professionals and 11,445 registered companies, including 115 operators.
However, he noted that a significant portion of the midstream sector remains outside the platform.
Paulker also disclosed that the Board processed 1,603 expatriate quota applications, approving 1,417 of them and generating 13,833 employment commitments for Nigerians.
He warned companies against bypassing regulatory procedures when applying for expatriate quotas.
“Operators must obtain NCDMB clearance before approaching the Federal Ministry of Interior. Any process outside this framework constitutes a breach of the law,” he said.
In his closing remarks, the Supervisor of the Midstream Monitoring Division, Engr. Pius Waritimi, encouraged companies to engage the Board early in project planning and participate in collaborative industry platforms.
“Compliance commitments are binding. We encourage stakeholders to participate actively in the Nigerian Content Consultative Forum (NCCF) and Sectoral Working Groups where industry concerns can be addressed constructively,” he said.
