PETAN Deepens Nigerian Content Footprint Across Oil and Gas Value Chain
—-4th Quarter General Meeting had group review organisation’s strategy ahead of 2026, admit new members.
—-Association recommits to 1MMBOPD drive with IOCs
—-Engr. Ogunsanya begins pivotal role in continental energy diplomacy as the Chairman of the African Local Content Organisation (ALCO), unveils strategy.
This was underscored at the association’s recently concluded 4th Quarter General Meeting and New Members Induction held in Lagos, where the association welcomed new indigenous service companies into its fold. The event, which also featured a members’ luncheon, highlighted PETAN’s strategy of building a robust ecosystem of credible Nigerian operators capable of delivering complex oil and gas projects.
The induction of new members, according to PETAN, reflects its long-standing mission to deepen local capacity, promote innovation, and ensure that Nigerian companies remain competitive in both domestic and international energy markets.
PETAN Chairman, Engr. Wole Ogunsanya, also used the opportunity to speak about the growing influence of the association beyond Nigeria as he now heads a group of service companies across the continent.
“In my capacity as Chairman of PETAN and leader of the African Local Content Organisation (ALCO), I am focused on a singular, pan-African vision: to dismantle the existing ‘silos’ of our national markets. ALCO is purposefully designed to create a harmonized regulatory environment that transcends borders, enabling the seamless movement of technical expertise and equipment across the continent. By federating our national service provider associations, we are not just sharing resources; we are building an integrated industrial strategy that ensures Africa will no longer stand on the sidelines of its own wealth.
Our leadership of ALCO is anchored on three strategic pillars designed to transform the continent’s economic landscape. First, we are committed to GDP retention and value domestication, reversing the trend where over 50% of energy investments bypass local supply chains. Second, we are leveraging the newly established Africa Energy Bank in Abuja to fund ‘big ticket’ projects, positioning indigenous firms as primary technical partners to directly eradicate energy poverty through improved domestic gas utilization. Finally, we are advocating for the ‘Nigerian Model’ as a continental blueprint, using our successful leap to 61% local content in 2025 as living proof that structured legislation can turn natural resources into sustainable industrial sovereignty.”
Beyond capacity building, PETAN has maintained a strong presence in high-level investment and policy engagements. In November, the association joined leading international oil companies (IOCs) and service firms, including Shell, TotalEnergies and ExxonMobil, at the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) “Project 1MMBOPD Additional Production Investment Forum” in London. At the forum, PETAN reaffirmed its commitment to supporting Nigeria’s drive to add one million barrels per day to national crude oil output.
The forum, which brought together global investors, regulators, asset holders and service providers, showcased bankable upstream opportunities and partnership models anchored on transparency and accelerated project delivery. It also coincided with the launch of the 2025 Licensing Round by the NUPRC, aimed at unlocking value from marginal, fallow and undeveloped assets.
The Chairman, alongside other indigenous industry leaders, used the platform to demonstrate the growing technical competence of Nigerian service companies and their readiness to support increased production targets. According to NUPRC, ongoing reforms and targeted interventions have already helped lift Nigeria’s crude output to about 1.7 million barrels per day, from 1.1 million bpd in 2022.
Central to PETAN’s influence on Nigerian Content is its historic role in the enactment of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act, 2010. The association is widely recognized as the initiator of the local content drive, having led sustained advocacy and stakeholder engagements that culminated in the passage of the landmark legislation.
As a result of this role, PETAN holds a statutory seat on the Governing Council of the Nigerian Content Development and Monitoring Board (NCDMB), the agency responsible for implementing the Act. Through this platform, PETAN continues to shape policies that prioritise Nigerian participation, technology transfer and in-country value retention.
The impact of these efforts became particularly evident during the COVID-19 pandemic, when PETAN member companies sustained oil and gas production despite restrictions on expatriate movement. The period highlighted the depth of technical competence and operational capacity that has been built by indigenous firms over the years.
Today, PETAN companies operate across the entire oil and gas value chain, from pipeline construction, drilling and well services to processing facilities, refineries and gas plants. Some members have advanced further into LPG production for the domestic market, strengthening energy access and supporting Nigeria’s gas utilisation objectives.
Speaking in a previous interview, Ogunsanya noted that while local coverage of the value chain has largely been achieved, the next critical phase is scaling capacity to meet growing industry demand. He stressed the need for increased rig availability, expanded drilling operations, and stronger financial capacity, particularly as multinational operators divest assets to indigenous players.
“The positive development is that PETAN already spans the entire value chain. Notably, the most critical pipeline under construction in Nigeria today is being built by two PETAN companies. In terms of rig access and well drilling, several PETAN companies possess the requisite expertise. Our presence is substantial across well services, processing facilities, refineries, and gas plants. Some PETAN companies are even advancing beyond gas plant facilities to produce LPGs for the local market. We have already established comprehensive coverage of the entire value chain.
“What we need now is to increase our capacity. For instance, if PETAN companies operate ten land rigs and the industry demands 20, we must double our capacity. If only two jack-up rigs are available but seven are required, we need to expand from two to seven. The crucial element is that we have the full spectrum of the value chain covered; now, it’s about scaling up our existing capacity to meet market and business environmental demands.
“As multinational companies in the exploration and production (E&P) sector divest, acquiring these licenses, owning the fields, raising funds, and maintaining inherited production becomes imperative. We must also focus on workovers and drilling new wells, as the number of barrels produced daily will naturally decline over time,” Ogunsanya said in an interview with Majorwaves in 2024.
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PETAN’s influence also extends to regional and continental energy discourse through its creation of the Sub-Saharan Africa International Petroleum Exhibition and Conference (SAIPEC). As the flagship platform for collaboration, technology exchange, local content and energy transition, SAIPEC brings together national oil companies, IOCs, service providers and policymakers to drive sustainable growth across Africa’s energy sector.
Through sustained advocacy, capacity development, policy engagement and industry collaboration, PETAN has emerged as a key private-sector driver of Nigerian Content. Working closely with the NCDMB, the association’s efforts have helped lift local content performance to over 61 per cent in 2025, a milestone that underscores the growing dominance of Nigerian companies in the nation’s oil and gas industry.
