Chevron’s $1bn spending boosts oil sector growth – MD

Chevron’s annual spending of approximately $1bn on Nigerian suppliers is vital to the growth and development of the country’s oil and gas sector, according to the firm’s Managing Director of Nigeria and Mid-Africa, Jim Swartz.

He disclosed this disclosure at the 2024 Practical Nigerian Content Forum.

The forum, organised by the Nigerian Content Development and Monitoring Board, is held from December 2 to 5 in Yenagoa, Bayelsa State.

Swartz highlighted the importance of building local capacity for the industry’s success.

He stressed that the oil and gas industry depended on strong partnerships between stakeholders and reaffirmed Chevron’s commitment to prioritising Nigerian content development as part of its long-term strategy.

“Having invested in Nigeria for over 60 years, Chevron believes that the vast opportunities within the oil and gas sector can drive economic growth, provided there are appropriate government policies, regulations, and legislation,” Swartz said in a statement on Wednesday.

The forum brought together key industry players to explore ways to enhance local participation in the oil and gas sector and ensure sustainable growth.

“Chevron’s Nigerian Content policy is driven by the vision to be recognized as the petroleum company that works best to foster competence and competitiveness among Nigerian indigenous contractors and suppliers by adopting the participatory-partnership model,” he remarked.

The MD noted that Chevron companies in Nigeria had developed and implemented the local/Nigerian content development philosophy as far back as 1999, before the April 2010 enactment of the Nigerian Oil and Gas Industry Content Development Act.

He stated, “At Chevron, we demonstrate our commitment to the socio-economic development of Nigeria by building mutually beneficial partnerships and supporting the policies of the government on Nigerian Content Development.

“In addition to skills acquisition training for Nigerians, Chevron provides contract and procurement opportunities, support for asset acquisition, technical support, and facilitates collaboration on research and development for local community contractors.”

“For the last 10 years, CNL has spent an estimated annual average of $1bn on Nigerian suppliers and service providers. We do all this, not because we are compelled to, but because it is the right thing to do,” he remarked.

Jim affirmed that Chevron would continue to partner with the NCDMB to boost local capacities in the Nigerian oil and gas industry.

“We will continue our efforts in capacity building and training of the local talents, our support for research and development, and the facilitation of partnerships among local businesses,” he concluded.