Secretary of AMAPOB, Mr Patrick Odiegwu, said this in a recent media interviewin Abuja.
Odiegwu said that the Nigerian Oil and Gas Industry Content Act of 2010 prescribed local content requirements to promote the patronage of Nigerian products and services by IOCs, while calling for its strict enforcement.
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He, however, said that the IOCs had continued to import barite for their drilling operations, adding that they were flouting the 60 per cent requirement to locally source the mineral from the country.
BRANDPOWER reports that Barite, a mineral found in Nasarawa, Plateau, Taraba, Benue, Adamawa, Cross River, Gombe, and Ebonyi states, is primarily used as a weighting agent in drilling muds for oil and gas exploration.
It is also used for paints and coating; glass and ceramics; medical imaging and in the automobile industry for the production of brake pads and clutches.
“For the past 14 years since the law was passed in 2010, there is no year they (IOCs) don’t spend a minimum of 300 million dollars importing barite.
“We cannot have a product that is deposited in this country, can be mined, and taken through the value chain of our industry, yet the same product, day in and day out is being imported into this country.
“When this product gets imported into the country, Nigerians are deprived of getting the job. We need to know that mining is not just mining but also production of raw materials.
“So if we are producing raw materials, we need to take it to our value chain to the industry that uses it,” he said.
He said the Nigerian barite was of international standard and could be used by IOCs, saying that it had undergone assessment by the relevant agencies regarding its quality
“There is a barite standard being established by Standard Organisation of Nigeria (SON),” he said.
Odiegwu said Nigeria also had the mineral in abundance, and claimed that some mining companies exploring the minerals had more than 10 million Metric Tonnes available.
“Some of our companies that are carrying out exploration have more than 10 million metric tonnes of barite. If you have 10 million, it can serve the oil and gas company for the next 20 years.
” Over eight states have barite deposits in so many locations, that can comfortably service the oil and gas sector, develop it further for exports so that we have export earnings,” he said.
He urged the government to take advantage of its mineral resources in developing its economy, particularly in addressing hunger and creating employment opportunities for its teeming population.
“Reports of Nigeria not possessing high-grade barite needed for use by the IOCs can be contested.”
He urged the government to conduct its own independent investigations on the quality of the miberal, instead of relying on information from IOCs that were only protecting their interest.
“We can supply the best quality even better than the international grade,” he said.
He emphasised the need for an interface between the Miners Association of Nigeria and Manufacturers Association of Nigeria (MAN) , to make enquiries and provide them with the locally sourced materials they use in their production.
He said that interfacing with key stakeholders, including domestic barite producers, IOCs, and the oil industry regulator, the Nigerian National Petroleum Corporation Limited (NNPCL), would help in addressing the situation.
He said mining was capital intensive, while calling for adequate funding for the sector and improved infrastructure
