Nigeria targets 70% local content in oil and gas sector by 2027

President Bola Tinubu has called on international oil companies operating in Nigeria to award more engineering contracts to domestic firms. This initiative is part of a “Nigeria First” policy designed to promote domestic expertise, locally manufactured equipment, and skilled job creation.

The government aims to increase local content in the oil and gas industry to 70% by 2027, up from 56% recorded in 2024. To support this transition, a $100 million fund has been announced to assist domestic companies. Data indicates that the share of domestically sourced goods, services, and expertise has risen from 26% in 2016 to 56% in 2024.

In a related development, Lee Engineering Group is constructing two gas compressor stations in Edo State. These stations are intended to support the Escravos-Lagos Pipeline System, which has seen its capacity expanded from 1.1 billion to 2.3 billion standard cubic feet per day.