Managing Director of Renaissance Africa Energy Company Limited, Engr. Tony Attah has urged indigenous oil and gas operators in Nigeria to form consortiums to take advantage of emerging opportunities.
Delivering a presentation at the Nigerian Content Academy Lecture on Thursday, entitled “Finding Funds for Effective and Efficient Local Content Initiatives – IPPG Perspective,” Attah argued that the future of Nigeria’s energy landscape lies in strategic consolidation, as indigenous oil and gas operators are encouraged to form consortiums to effectively compete and capitalize on evolving industry opportunities.
He observed that “when IOCs leave matured basins in other climes, international independents take over from them. But Nigerian independents take over in Nigeria. That transition is showing value today. More than 50 percent of Nigerian crude oil production is associated with independents. I see a future where more Nigerian independents would have to consolidate. Renaissance here, Seplat is here. The consolidation would have to be among the others to create the other three or five.”
He also shared insights on the successful formation of Renaissance Energy by a consortium of four Nigerian, and one international companies, namely ND Western Limited; Aradel Energy Limited; Waltersmith Petroleum Development Company Limited; First Exploration and Petroleum Development Limited; and Petrolin Trading Limited. He attributed the success of the deal to enduring collaboration, tenacity and ambition among the founding companies.
Engr. Attah, a former Managing Director of Nigeria LNG Limited and Shell Nigeria Exploration and Production Company (SNEPCo) also outlined veritable funding mechanisms which players in the African energy sector could deploy to navigate global funding and operational challenges.