NCD Plan
NCD Plan
R01 23.11.2022
26-02-2024 ISSUE FOR TECHNICAL EVALUATION BO PN UI
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SUMMARY PAGE
This NIGERIAN CONTENT DEVELOPMENT PLAN (NCDP) was prepared to address the issue relating to project
initiation, setting up, monitoring and control, progress tracking, communication and correspondences, interphase
and general management of the project.
The team shall adopt a very viable idea to ensure that engineering and construction work are delivered on time, at
the right quality and within schedule.
NIGERIA CONTENT DEVELOPMENT PLAN
Table of Contents
1.0 INSIGHT ............................................................................................................................................ 3
2.0 NIGERIA CONTENT POLICY STATEMENT ..................................................................................... 3
3.0 POLICY IMPLEMENTATION STRATEGY IN WORK/PROJECT EXECUTION IN NIGERIA ............ 3
3.1 In performing any project: ........................................................................................................ 4
4.0 LEGISLATIVE AND REGULATORY AWARENESS .......................................................................... 5
4.1 Company is committed to carry out its Contracts in view to:.................................................... 5
4.2 SHROMB GEOTECHNICAL and its sub-Contractors shall achieve these principles and
objectives by:........................................................................................................................... 5
5.0 OUR COMMITTEMENT TO LATEST DIRECTIVES .......................................................................... 6
5.1 Nigerian Local Content Development Short Term Directives:.................................................. 6
6.0 COMMITMENT TO TRANSFER OF TECHNOLOGY AND TRAINING.............................................. 8
7.0 COMMITMENT TO EMPLOYMENT GENERATION.......................................................................... 8
7.1 Using Nigerians and Professionals .......................................................................................... 8
7.2 Using Qualified Manpower or Professionals In-Country .......................................................... 8
7.3 Percentage of Workforce to be Employed ............................................................................... 8
7.4 Plans to Increase Nigerian Work Force ................................................................................... 8
7.5 Location of Project Management Team ................................................................................... 8
7.6 Local Sub-Contractors & Suppliers Relationship ..................................................................... 8
8.0 COMMUNITY DEVELOPMENT STRATEGY..................................................................................... 8
8.1 Sustainable Development Plan................................................................................................ 8
8.2 Community Development Plan ................................................................................................ 9
9.0 LIST OF SUBCONTRACTORS/SUPPLIERS .................................................................................. 10
10.0 HISTORICAL SUCCESS IN NIGERIAN CONTENT ........................................................................ 12
11.0 LOCAL PERSONNEL & SERVICES PERSONNEL......................................................................... 12
12.0 STATISTICAL RECORDS ............................................................................................................... 13
12.1 Personal Recruitment Statistics ............................................................................................. 13
13.0 INNOVATIVE PROPOSALS ............................................................................................................ 13
14.0 HARMONIZATION OF INTERNATIONAL CODES AND STANDARDS IN INDUSTRY TO
SUPPORT UTILIZATION OF LOCALLY MANUFACTURED PRODUCTS. ..................................... 13
14.1 Codes, Standards and International Industrial Regulations ................................................... 13
15.0 LOCATION OF PROCUREMENT CENTRE .................................................................................... 14
16.0 NIGERIAN CONTENT TRACKING SYSTEM .................................................................................. 14
17.0 SPECIFIC CAPACITY BUILDINGS PROGRAMMES/SKILLS TRANSFER AND PERSONNEL
TRAINING PROGRAMME FOR ONE YEAR ................................................................................... 14
18.0 PROCEDURE FOR SELECTION OF SUBCONTRACTORS/SUPPLIERS ..................................... 14
19.0 MANAGEMENT OF SUB-CONTRACTORS .................................................................................... 16
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NIGERIA CONTENT DEVELOPMENT PLAN
INSIGHT
It is the policy thrust of SHROMB GEOTECHNICAL LTD to encourage the purchase of equipment,
goods, materials, suppliers and manpower from Nigerian and to make use of services and
professional or otherwise which are rendered by Nigerians or companies incorporated in Nigeria,
except when after proper research such services/facilities are not available in Nigeria.
We have established an independent Nigerian Local Content Department to further facilitate,
monitor and audit to ensure compliance with our planned Local Content Objectives in line with the
Nigerian content directive of achieving 100% LCD as contained in the 2010 ACT directive.
This we must always abide by:
REV-01
Signed and Authorized by
KOLAWALE ONI
General Manager
Issue Date
ISSUED 20TH26TH
DATE: November 2022 2024
FEBRUARY,
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NIGERIA CONTENT DEVELOPMENT PLAN
We shall carry out the execution of projects in such a way as to comply with the Federal
Government directives on Nigerian content development and thereby provide the highest possible
benefits to the Nigerian people and Nigerian economy in general. The Nigerian content (local
content) of any contract shall reflect the value added in Nigeria through the utilization of Nigerian
resources, labor, materials, equipment, etc. The Nigerian Federal Government targets of 45%
and 70% by the year 2006 and 2010 are the minimum that must be achieved on any project. We
shall ensure that such value added or created in the Nigerian economy can best be achieved
when optimal amount of works is carried out in Nigeria and good considerations are given to the
following, among others:
Quality and quantity of committed infrastructure in Nigeria;
Location of Project management Team and Procurement centre in Nigeria;
Direct Nigerian employment (skilled, unskilled, managerial and directorship);
Services, raw materials and finished goods that are of Nigerian origin;
Nigerian equipment and other resources;
Training, technology acquisition, development programs and other opportunities for Nigerians;
Substantial Nigerian participation in the procurement of foreign manufactured goods.
The calculation of Nigerian (local) content which applies to contracts awarded to both foreign and
Nigerian based contractors/suppliers shall be on the basis of item stated above. SHROMB
GEOTECHNICAL undertakes to provide on a monthly basis the information required on this
template as accurately as possible. Such information musts be duly endorsed by our
management and clients.
We shall maintain, preserve and shall cause its subcontractors to maintain and preserve, accurate
documentation and data (including but not limited to written and electronic record, books of
account, correspondence, plans, permits, licenses, drawings, payroll records, memoranda,
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NIGERIA CONTENT DEVELOPMENT PLAN
receipts, and documentation of related systems and controls) pertaining to information provided
above for any subsequent review, enquiry or audit by our clients, and
Because of the disposition of the Federal Government of Nigeria to the Nigerian content issue, our
clients shall be expected to observe due diligence in providing Nigerian content information.
Provision of incorrect or erroneous Nigerian content information shall be considered a material
and substantial breach of Agreement.
These directives imply that SHROMB GEOTECHNICAL shall provide documentation and
statement of company’s compliance with the attached Federal Government’s directive on Nigerian
Content with respect to this project.
We are compelled to fully comply with these directives as they form a “fatal flaw” during Tender
evaluation.
Company is committed to carry out its Contracts in view to:
a. Conduct work in a way that has near and long term benefits to the community in
which company works, consistent with its corporate guiding principles. This includes
working directly and through others to provide education and training which brings
together national objectives to improve quality of life with business needs.
b. Work proactively to achieve high levels of Nigerian content in the scopes of work of
projects.
c. Invest in training to bridge the gaps between business needs and local capabilities.
SHROMB GEOTECHNICAL and its sub-Contractors shall achieve these principles and objectives by:
d. Making use of Nigerian individuals, contractors and suppliers to the fullest possible
extent with due consideration to competitiveness and capability.
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NIGERIA CONTENT DEVELOPMENT PLAN
e. Developing the capability of individuals and contractors, where appropriate to meet
business needs.
f. Understanding the Nigerian content expectations of the Government, which is a high
priority, and by meeting the terms of legislation and agreements.
Our company believes that to successfully achieve the above, the outcome will be reduced costs
and increased availability of some goods and services over time in-country.
Based on targets set by the Federal Government under the Nigerian Content development Policy
a set of directive was issued to the industry.
Based on feedback from the Oil and Gas Industry and the National supplier Associations, the
initial directives and guidelines are hereby revised as follows:
1.0 FEED and detailed engineering design for all projects is to be domiciled in Nigeria by end
2005.
2.0 Project Management Teams and Procurement Centers for all projects in the Nigerian Oil and
Gas industry must be located in Nigeria from first quarter of 2006.
3.0 Henceforth, all operators and project promoters must forecast procurement items required for
operations and projects for inclusion in a master procurement plan (MPP) to be submitted to
the Nigerian Content Division of NNPC on or before 31st January of every year.
4.0 From January 2006, all topsides of fixed (offshore and onshore) platforms weighing up to
5,000 tons are to be fabricated in Nigeria.
5.0 Henceforth, fabrication of all piles, decks, anchors, buoys, jackets, bridges, flare booms and
storage tanks are to be done in Nigeria.
6.0 Henceforth all fabrication of subsea systems including riser and flow-lines, subsea assemblies
and ancillary facilities including system integration tests are to be performed in Nigeria.
7.0 Starting from January 2006, a minimum of 50% of the total tonnage of FPSO topside modules
should be fabricated in Nigeria.
8.0 Starting from mid2006, all FPSO contract packages are to be bid on the basis of carrying out
topside integration in Nigeria.
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NIGERIA CONTENT DEVELOPMENT PLAN
9.0 Starting from mid2006 all third party services, (NDT, Mechanical Tests, PWHT Certification of
welding procedures and welders must be carried out in Nigeria. Nigerian Institute of Welding
must certify all such tests in collaboration with international accreditation bodies.
10.0 All operators and project promoters must ensure that recommendations for contract awards
in respect of all major projects being forwarded to NNPC/Constituted Boards of such oil and
gas Companies for approval must include evidence of binding agreement by the main
contractor with Nigerian Content subcontractor. Such agreement s shall indicate the cost and
detailed scope including total man-hours for engineering, tonnage of fabrication land relevant
defining parameters for materials to be procured locally as well as others services.
11.0 Henceforth all low voltage Earthing cables of 450/750 V grade, and Control, Power, Lighting
Cables of 600/1000 V grade must be purchased form Nigerian cable manufacturers.
12.0 All Equipment and Materials manufactured in Nigeria must be fully utilized and Clauses that
create impediments for/exclude participation of local companies should not be included in any
ITT.
13.0 From January 2006 all carbon steel pressures vessels of not more than 75mm shell thickness
shall be fabricated in Nigeria.
14.0 Domestication of all seismic data processing projects and all reservoir management studies
effective end 2005.
15.0 Henceforth, all waste management, onshore and swamp integrated completions, onshore
fluid and mud solids control, onshore measurement while drilling (MWD), logging while drilling
(LWD) and directional drilling activities are to be performed by indigenous companies or
indigenous companies having genuine alliances with multinational companies.
16.0 All international codes and standards used in the industry are to be harmonized to support
utilization of locally manufactured products such as paints, cables, steel pipes, rods, sections,
ropes etc and to improve capacity utilization in local industries.
The revised guidelines above supersede the initial guidelines issued under letter re: GMD.144
dated 2005 and are for your continuous guidance in the implementation of the Nigerian Content
Development policy.
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NIGERIA CONTENT DEVELOPMENT PLAN
COMMITMENT TO TRANSFER OF TECHNOLOGY AND TRAINING
SHROMB GEOTECHNICAL shall undertake relevant training of Nigerians within any contract
period to ensure adequate technological skills transfer that would equip young Nigerian
engineers to perform all tasks specified within the contractual scope of works and services.
We shall in addition give adequate attention to procurement of relevant equipment and
facilities the purposes of executing the contract within the Country utilizing such trained
personnel to the highest possible level. We shall therefore attenuate, if not eliminate,
expatriate contribution to the performance of the works within the life of the contract.
We intend to use the following categories of Nigerian professionals during our projects.
Professionals, experts, Engineers, Highly Technical Skilled and Unskilled Personnel are in any
area of service.
Using Qualified Manpower or Professionals In-Country
As a policy, SHROMB GEOTECHNICAL of ensuring that project key personnel are trained,
certified and competent to discharge there services appropriate as required by our client.
Percentage of Workforce to be Employed
We plan to employ 100% of Nigerian in the execution of any project.
Plans to Increase Nigerian Work Force
Over the next three years we plan to increase Nigerian workforce from the current 80% to 90%.
Location of Project Management Team
The project management teams are mostly Nigerians and we plan to locate this team in Nigerian.
Local Sub-Contractors & Suppliers Relationship
We intend to use only indigenous companies as subcontractors/supplies. We also intend to
engage (98%) the services of young indigenous professionals mainly from the Niger Delta and
other parts of Nigeria
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NIGERIA CONTENT DEVELOPMENT PLAN
companies in a sustainable and ethical manner. This will include the appointment of a mentor in
our organization to guide and Coach Nigerian owned companies in general business
management.
Community Development Plan
We will liaise with CLIENT to ensure that the pursuit of Nigerian Content is at all times fully aligned
with the Article titled Sustainable Community Development.
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NIGERIA CONTENT DEVELOPMENT PLAN
LIST OF SUBCONTRACTORS/SUPPLIERS
LIST OF SUBCONTRACTORS/SUPPLIERS
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NIGERIA CONTENT DEVELOPMENT PLAN
SHROMB GEOTECHNICAL has invested huge value funds and Assets in Nigerian Economy over
the years of our existence in Nigeria. Based on our experience and history, a consolidated
attitude and policy rather than an isolated plan represents the most efficient means for active
participation in the development of Nigeria and Nigerians.
In this respect while pursuing our commercial tasks and objectives, we have never believed in the
“Here Today, Gone Tomorrow” philosophy evidenced by others where focus is given to a single
project in attempting to maximize short term benefit.
It is a simple fact that we could not have sustained a continuous presence in Nigeria without
having placed the right fundamental principle of promoting the skills of Nigeria nationals. It is also
prudent to reaffirm that we have implemented this policy throughout our history in Nigeria.
In the pursuit of developing and maximizing local content, has identified the following specific
areas and actions necessary to meet its plan and objectives to provide benefit to the country.
INNOVATIVE PROPOSALS
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NIGERIA CONTENT DEVELOPMENT PLAN
Nigerian Society of Safety Personnel (NISP)
American Petroleum Institute (API – USA)
American Society of Quality Control (ASQC)
Association for Services Management International (AFSM- USA)
British Standardization Institute (BSI - GB)
Institute for Management and Control (ISA –USA)
Institute of Electrical and Electronic Engineering’s (IEEE –USA)
LOCATION OF PROCUREMENT CENTRE
The procurement centre for projects shall be located in Nigeria, in accordance with the latest revision of NNPC
directive, dated December 13, 2005.
Description of (A) (B) © (D) E=(A+B+C+D) (F) (E/F) (H) (1) (H/1)
scope of works
that will be Goods/Material/Equipment Services Labour Taxes/Fees Total Total Local Total Total % of
performed by payments affecting GDP payments payment & duties payments Contract Content labour labour labour
Nigerian to to payments that will payments % of hours hours by hours
subcontractor, Nigerians Nigerian to Nigerian remain in Total by all by
vendor or staff Govt. Nigeria contract Nigerian personnel Nigerian
supplier Citizens Citizen
including
names of all
subcontractors,
vendors or
suppliers.
TABLE – 1
S/N COURSE TITLE DURATION JAN FEB MAR APRIL MAY JUNE JUL AUG SEPT OCT NOV DEC
ACCIDENT
1
INVESTIGATION
1 DAY
DEFENSIVE
2
DRIVING
2 DAYS
ENVIRONMENTAL
3
CONTROL
2 DAYS
FIRE FIGHTING &
4
PREVENTION
2 DAYS
5 FIRST AID 2 DAYS
6 MARINE SAFETY 2 DAYS
SWIMMING &
7
TESTING
5 DAYS
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NIGERIA CONTENT DEVELOPMENT PLAN
UNSAFE ACT S
8
AUDITING
2 DAYS
MARINE
9
INSPECTION COURS
3 DAYS
ADVANCED
RADIOGRAPHIC
10 INTERPRETATION & 2 DAYS
SAFETY
CERTIFICATE
VISUAL INSPECTION
11 OF WELDS 2 DAYS
CERTIFICATE
DIVERS COURS
12
CERTIFICATE
2 DAYS
FIRE FIGHTING
13
COURS
2 DAYS
MARINE
14 ENGINEERING 2 DAYS
(BASIC)
MARINE
15 ENGINEERING 2 DAYS
(ADVANCE)
CONSTRUCTION
16
SITE SAFETY
2 DAYS
QUALITY
ASSURANCE &
17 2 DAYS
QUALITY CONTROL
(CIVIL)
MARINE MATERIALS
18 TESTING AND 2 DAYS
QUALIFICATION
MARINE
19 INSPECTION 2 DAYS
CERTIFICATE
COAT & WRAP
20
CERTIFICATE
2 DAYS
21 QA/QC MARINE 2 DAYS
QUALITY
22
MANAGEMENT
2 DAYS
UTRASONIC
23
INSPECTION
2 DAYS
MANAGEMENT OF SUB-CONTRACTORS
We shall assess and evaluate subcontractors Local Content management system before they are
engaged in its operations.
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NIGERIA CONTENT DEVELOPMENT PLAN
Subcontractor’s Local Content requirements. A well-documented demobilizations process shall be
implemented during which the plans, personnel and equipment of subcontractors shall be evaluated.
It is core that we give the necessary assistance to help develop indigenous contractors from host
communities. It shall be ensured that he personnel of such contractors are physically fit before they
are assigned to any job.
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