NCDMB okays over 440 expatriate slots in oil sector

The Nigerian Content Development and Monitoring Board (NCDMB) has approved over 440 expatriate quota slots for the country’s oil and gas sector in the first half of 2025, highlighting the delicate balance between sourcing critical foreign expertise and growing local capacity in one of Nigeria’s most vital industries. The latest approval, which covers 448 expatriate positions, is part of the board’s effort to ensure that companies operating in the sector fill only highly specialized roles with foreign workers where no qualified Nigerians are available.

According to figures released by the board, 246 slots were granted in the first quarter of the year while an additional 202 were approved in the second quarter. The board also revealed that it processed and rejected 319 applications within the same period for failing to meet the stringent criteria set out in the Nigerian Oil and Gas Industry Content Development (NOGICD) Act. The law, enacted in 2010, mandates oil and gas companies to give Nigerians the first right of refusal for all positions and contracts where local skills exist.

The NCDMB explained that the expatriate quota approvals were issued to bridge skill gaps in highly technical areas such as subsea engineering, deepwater drilling, and certain high-end digital technologies which still lack sufficient local expertise. Temporary work permits were also part of the approval process, with 158 granted within the six months to cover short-term, specialized work that could not be handled locally.

Despite these new approvals, the board insisted that it remains committed to growing Nigerian participation in the oil and gas industry to 70 percent by 2027. NCDMB’s Executive Secretary, Felix Ogbe, said the expatriate slots are carefully controlled and monitored through succession planning agreements that require foreign staff to train Nigerians who will eventually take over those roles. “Our mission is clear — we want Nigerian professionals to dominate every part of this industry, from upstream operations to fabrication, engineering, and project management. Where we still need expatriates, they must train Nigerians to take their place,” he said.

Industry watchers say the reliance on expatriates, though smaller than in previous decades, underlines the fact that while Nigeria has made significant strides in local capacity development, gaps still remain in certain cutting-edge areas. Before the local content law was signed, the country’s oil and gas sector was heavily dominated by foreign firms and contractors, with local content estimated at less than five percent. Today, the board says local content has risen to about 56 percent, reflecting progress in indigenous fabrication yards, oil servicing companies, and local manpower development.

However, this progress has not been without challenges. Reports have emerged over the years of companies abusing the expatriate quota system by smuggling in foreign workers for roles that Nigerians can do, often with forged documents or in collusion with unscrupulous officials. The board has had to crack down on such practices, revoking permits, imposing fines, and in some cases, prosecuting defaulting companies.

A recent example is the case involving Sterling Oil Exploration and Energy Production Company Limited (SEEPCO), which was accused by oil workers’ unions of deploying hundreds of expatriates without proper approvals while bypassing qualified Nigerians. Following protests and petitions by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), the NCDMB launched an investigation into the company’s practices. According to reports, the board had previously flagged SEEPCO for similar violations in 2017 and 2018 and had imposed fines and mandated training programmes to correct the infractions. The company was alleged to have failed to fully comply, leading to renewed scrutiny in 2025.

Labour unions say such violations undermine the spirit of the local content policy and limit job opportunities for Nigerian engineers, technicians, and other professionals. PENGASSAN has called for stricter penalties for defaulters and more transparency in how expatriate slots are allocated and monitored. They argue that if the industry is to reach its 70 percent local content target by 2027, loopholes in the quota system must be closed.

In response, the NCDMB says it has strengthened its oversight framework. A new reporting and monitoring template launched this year now tracks expatriate quota approvals, succession plans, and training commitments in real-time. This allows the board to follow up with companies, conduct audits, and ensure compliance with the law. Companies found to be circumventing the rules face suspension, heavy fines, or loss of operating licenses.

Beyond enforcement, the board continues to invest in building local capacity through training centres, scholarships, and support for local oil servicing companies. Partnerships with universities and technical institutions aim to ensure that more Nigerians acquire the specialized skills needed to take over roles currently held by expatriates.

Industry experts believe that the road to full Nigerian participation in the oil and gas sector is still long but achievable with sustained effort. They say foreign experts will continue to play a role in the near term, especially as the country explores more complex projects in deepwater and gas processing. But they stress that every slot filled by an expatriate should come with a clear plan for knowledge transfer.

For now, the NCDMB’s message is clear: while the door remains open for expatriate talent where necessary, the ultimate goal is to build a workforce that is skilled enough to run Nigeria’s oil and gas industry entirely by Nigerians for Nigerians.