The Nigerian Content Development and Monitoring Board (NCDMB) has commended ESSO Nigeria, an affiliate of ExxonMobil, for the groundbreaking of a $23 million permanent shorebase facility at the Lagos Deep Offshore Logistics Base (LADOL) in Lagos.
The project, which includes an administrative building, warehouses, and storage facilities, is expected to strengthen Nigeria’s position as a growing hub for oil and gas logistics.
Speaking at the groundbreaking ceremony on Thursday, the Executive Secretary of NCDMB, Engr. Felix Omatsola Ogbe, praised ESSO Nigeria and LADOL for the initiative, describing it as a strong signal of increasing local capacity in the country’s upstream supply chain.
Represented by his Senior Technical Adviser, Engr. Austin Uzoka, Ogbe noted that the development comes at a time of global supply chain disruptions driven by geopolitical tensions, particularly in the Middle East, which have impacted logistics costs across international markets.
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He said LADOL’s emergence as a credible deep offshore logistics base provides a strategic alternative for Nigeria, reducing reliance on foreign facilities and strengthening the country’s industrial resilience.
“Today, we are pleased that Nigeria has an alternative,” he said, adding that ongoing investments such as LADOL’s expansion and the Dangote Refinery have significantly improved Nigeria’s supply chain capacity compared to a decade ago.
The NCDMB boss also urged ESSO Nigeria to adopt a front-end-loaded payment structure in its contractual dealings with LADOL, noting that delayed payments have remained a major challenge for local suppliers.
According to him, improved cash flow would enable contractors to execute projects efficiently without resorting to high-interest bank loans.
“Timely funding is critical to project delivery. Ensuring adequate upfront payments will help avoid financing bottlenecks,” he said.
Ogbe reaffirmed the Board’s commitment to deepening collaboration with industry stakeholders to boost local content and capacity development in Nigeria’s oil and gas sector.
Earlier, Chairman and Managing Director of ExxonMobil affiliates in Nigeria, Jagir Baxi, described the project as a milestone investment in the company’s over 70-year presence in Nigeria.
He said the facility would enhance deepwater offshore operations while creating opportunities for Nigerian companies, as the construction will be largely executed by local firms.
The event was attended by representatives of the Bank of Industry, officials of Nigeria Customs Service and Nigeria Immigration Service, as well as LADOL management led by Dr. Amy Jadesimi.
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