From left: Miss Bassey Adie of Loyz Marine Nig. Ltd; Chairman Starz Marine Nig. Ltd.,  Engr. Greg Ogbeifun and Director, Cabotage Services NIMASA, Mrs. Rita Uruakpa at the Nigerian Oil and Gas Opportunity Fair NOGOF 2023 held in Yenagoa, Bayelsa State recently.

The Nigerian Maritime Administration and Safety Agency NIMASA, has urged stakeholders in both the oil and gas as well as the shipping industry to urgently consider a change of trade terms in the oil and gas sector from the Free on Board FOB to the Cost, Insurance and Freight CIF model, which applies globally.

Director General of the agency, Dr. Bashir Jamoh OFR, who spoke at the 2023 Nigerian Oil and Gas Opportunity Fair NOGOF, held in Yenagoa, Bayelsa State, disclosed that policies of the current management of NIMASA under his watch are tailored to complement the efforts of the Nigerian Content Development and Monitoring Board NCDMB to grow the Nigerian economy through the oil and gas sector.

Represented by the agency’s Director, Cabotage Services, Mrs. Rita Uruakpa at the event, the DG insists it was high time the stakeholders discarded the FOB freight model to pave way for the introduction of CIF freighting model, which is more beneficial to all parties.

According to Dr. Jamoh, the efforts of the NCDMB at helping in the development of the indigenous maritime sector had not gone unnoticed stating that: “We appreciate the efforts of the NCMDB at growing the indigenous maritime sector, such as the proposed Brass Shipyard. We at NIMASA will continue to strive for the development of our maritime sector by pursuing policies that will ensure the indigenous capacity is grown, which in turn will impact on our fleet expansion to position them to be able to participate in the affreightment of the products.” 

Speaking on opportunities for indigenous businesses in maritime, he said: “I want to reiterate that we must also create a suitable and sustainable business and investment environment that will afford indigenous operators’ opportunities to participate in the oil & gas industry with a view to accelerating Nigeria’s income for the oil Industry, which in turn will impact our Gross Domestic Product GDP.”

Executive Secretary/CEO, NCDMB, Mr. Simbi Wabote charged firms operating in the sector to prepare themselves adequately, restating that the oil and gas industry is highly technical and does not compromise safety and standards.

Wabote said: “If someone gives you projects he intends to execute in the next two years; Nigerian companies, having listened to the opportunities, should go back and continue to build their capacities in readiness to actively participate.”

He also urged relevant agencies to address the worrisome security challenges, particularly oil theft in the Niger Delta, as this would enable the production of hydrocarbons at reasonable costs and profitability.