FG applauds ExxonMobil on $8.6bn contractor finance scheme

The Federal Government on Tuesday applauded ExxonMobil Nigeria for the launch of 8.6 billion dollar (N137.6) contractors finance scheme.

Speaking at the launch in Lagos, Mr Ernest Nwapa, the Executive Secretary, Nigerian Content Development and Monitoring Board (NCDMB), commended the management of the oil major.

The News Agency of Nigeria (NAN) reports that the fund is expected to solve funding challenges of contractors executing ExxonMobil contracts in Nigeria.

Nwapa said that the company had always reviewed its operation to conform with the Nigerian laws.

He said that following the signing of Nigerian Content Act 2010 by President Goodluck Jonathan, the company had reviewed its operations to comply with the law.

“The law demands that Nigerians undertake what to be done by Nigerians.

“We all know that funding has been a major challenge for Nigerians to execute the magnitude of work in the oil sector.

“Also, mobilising Nigerian banks to release funds to oil sector operations is also an issue.

“But things have changed now with the availability of 8.6 billion dollars by ExxonMobil and its banking partners to Nigerian contractors.

“I urge contractors to take full advantage of this opportunity to drive the transformation agenda of President Goodluck Jonathan,’’ he said.

In his speech, the Managing Director, ExxonMobil Nigeria, Mark Ward, said that the initiative was to support Nigeria’s local content policy by supporting contractors with the fund to finance the contract they were executing for the company.

“We are making 8.6 billion dollars available under this scheme with 12 banks as our partners.

”The scheme was initiated in November 2013 and we have 24 beneficiaries so far.

“The scheme is aimed at ensuring speedy completion of our work and to develop capacity building needed in Nigeria.

“The scheme provides cheaper fund, reduced loan processing time, increases credit eligibility and develops local content capacity,” he said. (NAN)