Samsung Heavy Industries Nigeria Limited (SHIN) has commended the Federal Government of Nigeria, particularly the Ministry of Petroleum Resources and the Nigerian Content Development and Monitoring Board (NCDMB) for carrying out feasibility study for the construction of ship repair facility in country to serve LNG carriers, Crude Oil Tanker and other merchant vessels in Nigeria.
Managing Director of SHIN, Mr. Jejin Jeon made this commendation at the opening session of the 2021 Nigeria International Petroleum Summit (NIPS) in Abuja.
The SHIN Managing Director told participants at the conference that the $300 million of pure investment made by the company in building the Lagos integration and fabrication yard, a set of world-class fabrication and integration facilities, had indeed opened a passage for Nigeria to potentially become one of the major players in international oil and gas industry.
Jeon, however, lamented that the major constraint remains as there is no adequate shipbuilding or repair facility in Nigeria which could accommodate ships in the range of 19K to 200KGT, despite her geographical advantage that is optimized for ship repair businesses.
“It is therefore laudable that NCDMB and Ministry of Petroleum is exhibiting excellent pioneer spirit by conducting a feasibility study for the construction of ship repair facilities in country to serve LNG carriers, Crude Oil Tankers and other merchant vessels in Nigeria”
Jeon noted that through the Egina Project, Samsung has demonstrated that through real investment, rigorous training, health and safety policies and environmental awareness, local fabrication and integration can take place in Nigeria at a world class level.
He appealed for continuous support of all government ministries and agencies at all times to ensure that the company and other foreign investors are able to overcome challenges and difficulties that are often caused by some local partners and vendors in Nigeria.
‘Through effective legislation and initiatives such as the ease of doing business, Foreign Investors are given the protections necessary and required to overcome these challenges and achieve the intended growth and development for Nigeria to benefit greatly. Working hand-in-hand with government and its agencies, this is definitely achievable and will send a very clear and eager message to other foreign investors with the interest in coming to Nigeria for further investment in a peaceful environment,” Jeon explained.
Jeon described Samsung Heavy Industries as a global leader in shipbuilding and offshore EPC business with an unrivalled competitiveness.
According to him, Samsung also maintained the world’s largest market shares in the fields of high technology and high-value added products such as oil Floating Production Storage Offloading (FPSO) units, FLNG, LNG carriers, Very Large Crude Carriers (VLCC) and Drill Ships.
“As a global player in the shipbuilding and maritime industry across the world and a home to one of the world’s top three shipyards in the world, Samsung strongly believe that Nigeria can develop ship repair and shipbuilding industry without a fail. Our Commitment and investment in Nigeria remains an ongoing pledge to create an environment filled with enough skill labor to eventually enable the construction of new vessels within Nigeria in the long run,” he explained.
He described Nigeria as a Promised Land, flowing with milk and honey.
Jeon noted that owing to its strategic location by the coastline, Nigeria is also the pivot of West Africa’s shipping activities with over 3,000 commercial ships sized over 19K to 200K GT flocking in and out of the country for various marine activities each year.
He said SHIN recognised Nigeria’s limitless potentials and had invested over $300m in Nigeria to build the SHI-MCI yard, which he described as the first of its kind in Sub-Saharan Africa, equipped with the latest technology and innovative production techniques, executed to the same high standard as the parent company in South Korea.
According to him, the facility was built to enable in-country fabrication and integration of key ship modules.
He said with the facility, Samsung was able to deliver the world’s biggest FPSO vessel, Egina for the very first time in Nigeria.
“This successful venture with NNPC and TOTAL enabled Samsung to engage thousands of Nigerians, directly and indirectly, during which we trained them in our World Class Training Qualification Centre.
Samsung believes in the future of Nigeria and part of our commitment to this country is to give the best training to thousands of men and women to attain world class accreditation of key skill sets such as welding, blasting, painting, fitting and scaffolding and so on,” he added.