- Thursday, 30 January 2014
An increase in both private equity participation and local content supply has been witnessed in Nigeria's petroleum industry. This is coming after almost 60 years after the commencement of full scale oil exploration operations by multinationals in the country. Authoritative official date estimates local companies’ share of the country’s oil sector as being well over 30% of the upstream sector in 2012, marking an upward growth from less than 10% recorded in 2010. Dangote Holding, a local business group plans a US$9bn refinery/petrochemical and fertiliser plant, with installed capacity to produce 400,000-barrel/day oil refinery in Nigeria's downstream oil production sector, which is currently under the total grip of Nigeria’s state owned giant oil monopoly, the NNPC. Due to technical and financial constraint, it is not expected that local companies would upstage international oil companies operating in the country’s oil sector of the economy anytime soon.