LADOL gets FG approval for Egina FPSO integration

Efforts to develop the nation’s fledging oil and gas sector has received a boost as government gives approval for an indigenous company which plans to spend $350 million (about N57 billion) on Egina vessel platform integration.
The project which is being handled in a Joint Venture (JV) partnership between Korea-based world acclaimed Samsung Heavy Industries (SHI) and an indigenous organization, Lagos Deep Offshore Logistics service provider (LADOL), seeks to undertake the integration of a Fabrication Production Storage and Off-take vessel, otherwise known as FPSO platform.
Managing Director of LADOL, Dr Amy Jadesimi, said at the weekend that her company’s competence in handling the first-of- its-kind project in Africa, is no longer in doubt as government has granted the JV all necessary approvals to commence work in earnest.
Dr Jadesimi who led newsmen on a facility tour of the fabrication site at LADOL base in Lagos, noted that the choice of her organization for the unique project was informed by its track record in servicing major oil and gas companies’ logistics requirements one of which was the final integration of the famous Agbami oil field facility.

According to her, series of findings and vessel simulation carried out along the Apapa ports coastline has revealed that apart from being the only fully indigenous-owned body of its kind in the country, LADOL base is most ideal site in Nigeria for berthing a vessel the size of an FPSO.
She revealed that LADOL which is an International Ships and Ports Security (ISPS) certified facility has all relevant government agencies’ permanently present in the Zone.
They include the Nigerian Export and processing Zones Authority, Nigerian Customs Service, Nigerian Immigration Service and the Nigerian Ports Authority (NPA).
“LADOL is already servicing oil and gas majors, contractors and service companies. The largest FPSO in Nigeria – Agbami – was supported by and from LADOL”, she said.
Describing the process of getting government’s nod to commence on the project as “a long, costly and difficult road to success”, Dr Jadesimi said listed the various approvals to include: Designation as Deep Offshore Logistics Base, part of Apapa Port, NPA Approval for SaNTA – Training Facility in LADOL which was obtained on 17th January 2013, as well as NPA’s Preliminary Approval for FPSO Facility in LADOL, also gotten on14th of December 2011.
She revealed that other necessary approvals and hurdles included NEPZA Planning Approval for FPSO Facility which came on 28th Nov 2011; NPA Planning Approval for FPSO Fabrication Yard on 2nd August 2013; NPA Planning Approval for FPSO Quay for Integration on 8th October 2013 following which the detailed design was completed in August 2013.

Aside from the series of approvals, she said her organization had to sign nineteen separate agreements with Samsung over three years with the active involvement of seven separate world class Nigerian and International Lawyers, Financial Advisors and Consultants.
“Our total Investment in FPSO Facility at LADOL to-date is USD 102.5 million. This does not bother us as the only 100% Nigerian Logistics Base Owner in Nigeria and the only one to develop a facility from a zero value Greenfield NPA site into a USD 500 million world class base” she added.
Dr Jadesimi pointed out that following the success recorded in the first phase of the company’s development, “LADOL is now expanding its facilities and it’s proven Business model of private indigenous Nigerian lead development of facilities, into Bayelsa State as well as extending its facility in Lagos with a USD 500 million additional investment.
“LADOL’s joint venture with Samsung to build Nigeria’s first and only Africa’s only FPSO facility will make Nigeria Africa maritime and oil and gas hub, creating 100,000 jobs” she said.
LADOL, she said has been given all required approvals to proceed with construction “and based on the approvals the government has given USD 62.5 million invested already – this is new private investment in developing infrastructure in Nigeria”.