Indigenous oil firms seek stable, competitive fiscal regime in PIB

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Nigerian independent exploration and production (E & P) companies while at the maiden edition of the Aspen Energy Roundtable series, have called on the federal government to ensure that the yet-to-be introduced Petroleum Industry Bill (PIB) that will govern the fiscal regime in the oil and gas industry is globally competitive and rewarding to investors, THISDAY reports.

The independent E & P companies insisted that the fiscal regime in the new PIB should not only be stable but also competitive, adding that the federal government should stop focusing on rent collection and incentivise investors, “even if means putting money on the table.”

The Chief Executive Officer of Seplat Petroleum Development Company Plc, Mr. Austin Avuru, who was the keynote speaker, argued that local content without capacity building is useless. Avuru charged the Nigerian E & P companies to adopt good corporate governance, stressing that a company that has a board that does not have powers to remove the Chairman or Chief Executive Officer does not have a board at all.

Speaking on the lessons learnt from the recent divestment by the international oil companies, the Managing Director of ND Western, Dr. Lai Fatona, stated that the acquisition of the assets by indigenous operators was a catalyst for the Nigerian oil and gas industry to grow itself.