IADC Nigeria Sets For Super Circle, Rewards Excellence
OpenLife Nigeria reports that operators in the drilling sector, under the aegis of the Nigeria Chapter, International Association of Drilling Contractors, IADC, have been advised to retool their skills so that they can take full advantage of the boom that beckons in the oil and gas sector.
This advice was handed down on Thursday, May 5 by Mr Chuks Enwereji, chairman IADC Nigeria Chapter at the association’s 2022 Annual Health Safety and Environment, HSE, Awards and Technical Session.
Enwereji, in his welcome address, explained that the fundamental drivers for determining fuel demand projections in all sectors are derived through iterative modeling given that prices for gas and oil in the World Economic Macro reflect the price levels that would be needed to stimulate sufficient investment in supply to meet projected demand.
He noted that “Analysts see this as an indicator that the world may be entering a new super circle, which would be defined by long period of strong demand and some constraints on supply, leading to high prices for energy and other commodities.
What this translates, according to Enwereji, is the emergence of a market, jostling for “Increased utilization. How ready are we, as drilling contractors, to take advantage of the projected super circle,” he asked.
To take full advantage of the emerging scenario, principally orchestrated by the Russia-Ukraine war, Enwereji urged IADC operators to retool their skills. He stressed that with more encouragement from the government towards nationalization of assets, more indigenous operators and drilling projects in their acreages would ramp up production.
“Our membership size has grown from 46 in 2021 to 55 in 2022. We have 17 active rigs as at the beginning of May 2022. More rigs are expected to commence work next month within the country,” he disclosed.
He noted that year 2022 remains promising for drilling contractors, saying that keys drilling business opportunities would be highlighted at the upcoming Ghana IADC conference and exhibition through cutting edge programmes even as the association navigates the ever-challenging energy world.
In their respective remarks, the guest speakers, Mr. Ben Agadagba of Spring Rock Energy and Mr. Olanrewaju Ojo-Aromokudu of TLR Engineering jointly affirmed the desirability for operators in the drilling business to continuously retool their skills for maximum efficiency.
Ben Agadagba who spoke on the theme—Equipment Recertification Challenges: Building In-Country Capacity—agreed with Enwereji on the need of operators to step up their game saying that consistent maintenance of working tools through recertification is critical in building confidence in the industry.
“We must ensure that all equipment are fit for purpose and should be periodically re certified to meet the specification of operators and enhance optimal productivity,” he advised.
To achieve this, Agadagba stated that operators must hire get competent technicians who can professionally execute jobs according to specifications and clients’ satisfaction.
He harped on training and re training of personnel to minimize the huge cost associated with the technical training of drilling experts.
He also recommended the hiring of 3rd party companies for “calibration,” works saying that engaging rental companies is a strategic measure in building capacity.
“When I was in Ghana and we needed to repair a rig, the technician came from Singapore,” he stated.
On his part, Olanrewaju Ojo-Aromokudu who spoke on “People Development: Reducing the Talent Gap in the Oil and Gas Industry,” explained that when a company has the right equipment without the right workers, set goals will be difficult to achieve.
He noted that the industry currently parades 20 percent of the 50 and above age bracket workforce while the young and upcoming, ranging from age 18 to 24, constitutes 4 percent.
He stated that the gap deserves to be bridged. Aromokudu identified lack of expertise and aging workforce as prevailing challenges in the industry.
He however pointed out that the challenge can be located squarely in succession planning.
“Succession plans which are embedded in knowledge transfer barely exist in the industry. But where it exists, it is not robust and sustainable,” he asserted.
As a remedy, Aromokudu aligned with Enwereji and Agadagba on the importance of training. He suggested that operators could explore cost-reducing digital options through online classes for personnel to address the challenge.
He called for more incentives for the workers as well as availability of career growth opportunities in line with talents to minimize expert deficits.
Hisham Zebian, Vice President, IADC Eastern Hemisphere who spoke to the audience from the Middle East, pointed at pandemic as the reasons for the cancellation of some of the scheduled conferences fixed for 2020 and 2021 respectively.
Zebian, who apologized for his inability to be physically present at the event, however, assured that the association is investing heavily in safety and security.
He disclosed that “Though the pandemic periods have been challenging, we have improved in training with cutting edge programmes. We are also unrelenting in investing in young generation with Nigeria as one of the designated countries as training centre,” he said assuring that he be Nigeria before the end of the year.
Adding his voice, Mr Dele Badejo, a player in the drilling industry sought a regig of government policies, noting that the growth potential of drilling contractors have been hampered by government unfriendly policies.
Presenting the 2021 HSE award plaques to deserving companies, the Vice Chairman, IADC Nigeria chapter, Mr. Valentine Iheasirim, remarked that despite the deadly onslaught the pandemic unleashed on the world since 2020, some companies kept afloat in business in very difficult situations and challenging remote areas.
According to Iheasirim, the companies promoted and ensured safety standards which are the hall marks of the association.
“Therefore, such companies which have been the association’s worthy ambassadors deserve commendations and awards,” he said.
Companies adjudged as the best for excellent service through the lens of Incident Statistics Programme, ISP, were KCA Deutage Nigeria, Sheilf Drilling Nigeria, Aviam Offshore Engineering Company, Depthwize Nigeria and Ocean Deep Drilling ESV.