Shell boosts local content with $84.5m Kaztec contract

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Royal_Dutch_ShellLocal content in the oil and gas sector has been given a push as Shell National Exploration and Production Company of Nigeria awarded an $84.5m EPC Trans-Niger pipeline project to Kaztec Engineering Limited, an indigenous company.

A statement on Wednesday described the project as the first major project to be executed by Kaztec Engineering Limited for Shell, saying the cost of the contract was $84.5m and contract period would be one year.

The statement said Kaztec formally signed package one of the EPC Trans-Nigeria Pipeline Loop line Project with SNEPCO at the SPDC Office in Port Harcourt with high-powered delegations from both parties in attendance.

“The objective of the project is to construct a 3-inch, 58-kilometre loop line from the Ogale manifold to Bonny Terminal in the South-South region of Nigeria. SNEPCO had been experiencing challenges with the current Trans-Niger Project,” the statement said.

The Graphics Design Trainee, Chrome Group, Mr Paul Abiagom, who issued the statement, said the project was seen by SNEPCO and National Petroleum Investment Management Services to be an emergency one, adding that it was divided into 3 packages.

Kaztec Engineering, according to him, is to undertake Package 1, having been chosen on the strength of its recent track record in the oil and gas sector.

The Chief Operating Officer,  Kaztec Engineering Limited, Mr. Ikechukwu Okpala, who commented on the development,  assured SNEPCO of timely delivery  on the project.

The General Manager, SNEPCO, Mr. Toyin Olagunju, said that he looked forward to the successful completion of the project.

Olagunju called for world-class performance on all aspects of the project, with particular attention on safety and environment, while advocating for zero-incident execution of the project.

In his remarks, the Executive Chairman, Kaztec Engineering Limited, Mr Emeka Offor, confirmed the company’s commitment to deliver on, and even surpass all expectations of the project.

 

Information from Punch was used in this report.