The Nigerian Oil and Gas industry is set to experience its first ever technology hackathon, the Nigerian Oil and Gas Technology (NOGTECH) programme, which is aimed at fostering innovations in the oil and gas industry as well as creating a platform for the proliferation of local content. The programme is headlined by the Nigerian Content Development and Monitoring Board (NCDMB) with partnership from Learners Support Consultancy and BrentHub.

The NOGTECH programme aims to address the challenges faced by the nation’s oil and gas industry and its linkage sectors by ideating, developing and prototyping digital technology solutions that solve these pertinent problems. The programme will promote innovation by offering seed funding, business mentorship and incubation to the winning ideas. It will also provide an opportunity to create world-class solutions for operators and service organizations within the industry, and other linkage sectors.

The Executive Secretary of NCDMB, Engr. Simbi Kesiye Wabote, revealed in a webinar session that “five winning teams will get $10,000 equity-free grants each. They will also get work-space, expert mentors, global partners and unprecedented market access over three-months, ensuring they become commercial and investor-ready.”

Engr. Wabote also made it clear during the webinar session titled “Innovating for the future of Nigeria’s Oil & Gas Industry and its Linkage Sectors.” that submissions into the programme will be scrutinised based on several factors.

”Participants must be a team/company of at least two or more members with at least 75 percent of the founding team as Nigerians. The team/company must be a registered, or intending to register as a profit/business entity. The solution described in response to the challenge must be driven by digital technology – Software, Hardware or both.”

He also disclosed that “the solution must either be at the ideation stage, prototype level or a launched solution that hasn’t gained commercial traction. The team must be available to participate in a three-day hackathon as well as a three-month incubation programme, if selected.”

NCDMB is determined to unearth scalable solutions to the industry’s biggest challenges. Some of the identified problem areas include the rising problem of pipeline vandalism, increase in cyber-physical risk, widening skill gap, supply chain and logistics inefficiency, rising carbon footprint and issues surrounding transparency, accountability and civic engagement. These challenges have been identified by industry professionals and academia as the most pressing issues for digital innovators focusing on the sector.

The NOGTECH programme is set to take place over several weeks with the chosen ideas advancing on a stage by stage basis. The first stage involving the call for submission will last for 30 days in which teams and startups are encouraged to submit their ideas. Shortlisted teams in each of the challenge areas will first be invited to present online to a team of experienced entrepreneurs and industry professionals. The most promising teams will then be selected to participate in an all-expense paid 3-day hackathon. During this time, shortlisted participants will have 72hrs to collaborate and build their prototypes or fine-tune existing prototypes with guidance from industry stakeholders, experts and mentors. At the end of the bootcamp, teams will revalidate their solutions and have the opportunity to pitch to a panel of judges.

Some of judges for NOGTECH include Oluyomi Ojo (Co-founder, Printivo), Timbiri Augustine (NCEC Supervisor, NCDMB), Barr. Nkechinyere Nwachi (Legal Services Directorate, NCDMB) Ahmed Mohammed (Monitoring and Evaluation Directorate, NCDMB), Tayo Bamiduro (Co- Founder, MAX.NG). Key Judges to Highlight. This team of industry experts, legal veterans and technology enthusiasts will select the best ideas going into the next phase based on predetermined criteria which include: relevance of solutions to presented challenges, domain expertise of the founding team, feasibility and scalability of solution, and uniqueness of solution.

The winning five teams will undergo a 3-month incubation program where each team will get a $10,000 equity-free grant, a work-space, expert mentors, global partners and unprecedented market access to the Nation’s oil and gas industry over three-months, ensuring they become commercial and investor-ready. At the end of the incubation, the teams will participate in a showcase day to demonstrate their progress. This showcase will aim to connect them with investors and industry stakeholders where they can further amplify their market access.

In order to participate, innovators are required to register and fill in the application at www.nogtech.ng on or before the submission deadline of July 14, 2020.

About NOGTECH
The Nigerian Oil and Gas Technology Hackathon aims to enable local partnership in the technology revolution ongoing in the oil and gas industry and birth new sub-segment activities that create employment opportunities. NOGTech will offer seed funding, business mentorship and incubation to selected ideas, and provide an opportunity to create world-class solutions for operators and service organization within the industry, and other linkage sectors.

About NCDMB
The Nigerian Content Development and Monitoring Board (NCDMB) was established in 2010 by the Nigerian Oil and Gas Industry Content Development (NOGICD) Act. NCDMB is vested with the mandate to make procedures that will guide, monitor, coordinate and implement the provisions of the NOGICD Act signed into law on April 22, 2010.

About Learners Support
Learners Support Consultancy Company Ltd, is an Education Technology (EdTech) company. Learners Support runs the Student Entrepreneurship and Enterprise Development (SEED) programme, which designs and executes hackathons, provides entrepreneurship education and incubation to help students’ business ideas with high-growth potential launch and grow, create employment opportunities for them while contributing to the economic and social development of their communities and country at large.

The Nigeria Extractive Industries Transparency Initiative (NEITI) has described as laudable, the decision of the Nigeria National Petroleum Corporation (NNPC) to make public its audited accounts for the first time in its history with the publication of its 2018 Audited Financial Statement (AFS) on its website.

In a press release by the Director, Communications and Advocacy, Dr. Orji Ogbonnaya Orji, he said that NEITI acknowledges that this historic development fulfils a pledge made by the GMD of NNPC, Mr. Mele Kyari, to the management of NEITI at a meeting on 6th August 2019, a pledge which Mr. Kyari reiterated on 25th November 2019 during the official visit to Nigeria of Mr. Mark Robinson, the Executive Director of the global EITI.

During the August 2019 advocacy meeting, the NEITI management had urged the then new GMD of NNPC to consider demonstrating his espoused commitment to transparency by making public the corporation’s audited accounts. Mr. Kyari acceded to the request on the spot.

“We welcome the eventual fulfilment of this important pledge and obligation,” said Waziri Adio, the Executive Secretary of NEITI. “Given NNPC’s antecedents and its prominent role in the sector and in the country, the publication of its audited accounts is positive, signaling more openness for the oil and gas sector and for Nigeria.”

“When combined with the monthly reports that NNPC started publishing in 2016, this development marks a sea-change for a national oil company that used to be renowned for opacity,” Mr. Adio added. “We urge NNPC to make this a routine practice and to mainstream transparency into all facets of its operations.”

NEITI calls on NNPC to go further by publishing its previous audited accounts and in open data formats so that the reports can be more accessible to citizens who are the shareholders of the corporation. NEITI also urges NNPC to strengthen and sustain its commitment to data mainstreaming and systemic disclosure.

NEITI is working closely with the NNPC in this direction through a joint committee on remediation and mainstreaming. The committee, set up by the two organisations, was tasked with the responsibilities of examining the status of legacy and other lingering issues about NNPC in NEITI’s reports over the years and to recommend workable strategies for resolving the issues.

The committee was also charged to devise action plans on systematic disclosure of information on NNPC’s operations in an open and accessible format, as well as data mainstreaming, among others. The work of the NEITI-NNPC joint committee on addressing the remedial issues is already at an advanced stage and the report will be made public very soon.

As part of its Strategic Plan and in line with the EITI Standard, NEITI has of late embraced proactive and constructive engagements with entities covered under the its reports with a view to reducing audit issues, deepening commitment to transparency, and encouraging proactive disclosures.

“We do not want to be the only entity talking about and practising transparency,” Adio stated. “There is little use being an island of transparency. Our goal is for all our stakeholders to believe in and model transparency. And to demonstrate our commitment to this new way of working, we are engaging with all covered entities bilaterally and collectively on outstanding issues and how we can further push the boundaries of openness.”

Nigeria’s oil sector regulator, Department of Petroleum Resources (DPR) has released strategic plan and policy for the survival and success of the industry post COVID-19.

Director/CEO of the agency, Engr. Sarki Auwalu, who made this known in a Keynote Address at the Webinar organised by Future Energy Leaders Nigeria (FEL) entitled; “Nigeria Oil & Gas Sector: Surviving and Thriving Post COVID –19,” underscored four key areas the country is deploying to stay afloat despite troubles and threats posed by the Coronavirus pandemic to the economy.

“There is no better time for strategic repositioning and business optimization. There are four ways this can be achieved. The first which is cost control and management has to do with realignment of cost of production per barrel as well as corporate, business and financial stewardship.

“The second is portfolio rationalization and asset Optimization. For this, there would be project Screening and maturation; and Contract re –negotiation,” he said.

The third step to achieve strategic repositioning and business optimization, according to Auwalu, is “New business and operational resilience, which include vertical Integration model covering the refineries; Operational Excellence; and Compliance.

“The last in that stage is strategic partnership; contracting models; Service Provider Open Access; and shared Risks and returns.”

The agency, he said, has lined up the following Model for surviving and thriving post-COVID-19. These include Marginal field bid round; Policy and Regulations; Business environment and investment drive; and making this year the Year of Gas.

COVID -19, according to the DPR boss, caused a shutdown of markets globally with impact on all key sectors of global economy.

Stating that global tourism, travels, Hospitality and SMEs were affected, Auwalu maintained that the Energy sector was a major hit, as transportation was ground to a halt.

For instance on April 20 th, 2020, he said, WTI crude oil slumped into negative for the first time in falling to negative (minus) $37 .63. The United States (US) unemployment rate in April & May 2020 reported as 14 .7Million &13 .3Million respectively compared to H22019 average of only only3.6million. Worldwide statistics follow similar trend.

On oil and gas and the Nigerian economy, the DPR director stated that the Sector oils the wheels of the Nigerian economy as it contribute approximately 10 % of Gross Domestic Product (GDP).

“The sector is also responsible for about 80 %of Government revenues as it is also the principal source of foreign exchange earnings and Foreign Direct Investments (FDIs).

“There are, expectedly, direct impacts of falling oil prices on the country, which include; change in Budget benchmark as well as the Revised 2020 Budget.

“These have brought about a new normal also known as a new reality which is that COVID-19 may be with us for some time. The world would have must learn to work & live around it.”

He continued; “The global economies gradual easing of lockdown; Slow, sustained growth in the economy and changing work environment &work processes are signs that we will need to work & live around it.

“Others in this category are utilisation of online resources, work tools and electronic media resources, Businesses ‘must swim to remain afloat or simply drown’ and to know that Challenges creates opportunities

BudgIT has commends the Nigerian National Petroleum Corporation for publishing the audited accounts of its subsidiaries and business divisions for the first time; and also launching the OpenData segment on its website, as a measure to promote transparency in its financial operations.

For the past four years, BudgIT, through the Extractives Consultative Forum and with support from the Natural Resource Governance Institute, NRGI, has been engaging key oil and gas stakeholders annually; including officials from Nigerian National Petroleum Corporation, NNPC, Department of Petroleum Resources, Ministry of Petroleum Resources, Civil Society Organisations and private individuals.

These engagements have centered on ways by which the NNPC can become more transparent, assume, and maintain the status of a commercially viable entity, as its consecutive losses are not sustainable in the long term.

“A financially viable and transparent NNPC is pivotal to the Nigerian Economy as the government still largely depends on revenue from oil to finance its budgets.

“Over the ears, BudgIT has consistently requested that the NNPC should make its audited report available to citizens in addition to publishing its monthly financial and operations reports, to further ensure transparency and accountability. In our last policy brief on NNPC reforms titled.

“There is no doubt that the Mele Kyari-led NNPC management has blazed the trail by making the audited report of all NNPC’s subsidiaries available online.

“NNPC: The burden of Africa’s Oil and Gas Giant,” making NNPC’s audit report public was one of the 7 recommendations for reforms we put forward.

“Launching an OpenData segment on its official website is a very commendable step by the NNPC. We encourage Nigerians to download the audit reports and other data put up by NNPC, study them, and ask Questions,” says Adejoke Akinbode, a Project Officer with BudgIT’s Extractive Department.

While these are important steps regarding transparency, more still has to be done by the Federal Government to reform the NNPC.

“The Federal Government needs to reform the NNPC to reverse the trend of the massive losses recorded by some of the NNPC subsidiaries, annually. This audit report is a laudable step towards showing Nigerians the true picture of what is going on in NNPC.” added Gabriel Okeowo, BudgIT’s Principal Lead