FG Commissions Pipe Coating Facility in Lagos to Boost Local Content
The Federal Government, through the Nigerian Content Development and Monitoring Board (NCDMB), has officially inaugurated the Monarch Alloys Limited 3LPE and concrete weight pipe coating plant in Ikorodu, Lagos State.
During the commissioning, Executive Secretary of the NCDMB, Felix Ogbe, described the facility as a significant milestone in Nigeria’s ongoing push to strengthen its local oil and gas infrastructure. He praised the initiative as a prime example of private enterprise aligning with national development goals.
“This project exemplifies our vision for local content, not as exclusionary, but as a means of fostering mutual growth between indigenous and international stakeholders,” Ogbe said. “This facility showcases Nigeria’s capability to produce high-grade pipeline coatings locally, a process previously outsourced to foreign firms.”
Ogbe emphasized that this development directly supports the objectives of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act. With local production of advanced 3LPE and concrete weight coatings now available, Nigeria stands to gain not only in technical capabilities but also through job creation, skills development, and economic growth.
Minister of Petroleum (Oil), Heineken Lokpobiri, lauded Monarch Alloys for reducing Nigeria’s reliance on imported coating services. He urged oil companies to prioritize local providers like Monarch Alloys, in line with President Bola Tinubu’s vision to end import dependency.
“We can no longer afford to be a dumping ground. Our pipelines, many of which are over 60 years old, need modern, locally-sourced infrastructure,” Lokpobiri said.
Minister of State for Industry, Trade, and Investment, John Enoh, highlighted the speed of execution, noting the plant was completed within 18 months, a period that coincides with the current administration. He praised the facility as a symbol of Nigeria’s expanding industrial value chain.
“This is a defining moment. We are not just reducing imports; we are establishing Nigeria as a competitive force in the global oil and gas ecosystem,” Enoh said. “It’s a call to action, invest in Nigeria today, not tomorrow.”
Monarch Alloys CEO, Atul Chaudhary, expressed pride in the company’s achievements. He revealed that prior to their entry into the market, Nigeria heavily relied on steel imports. Now, thanks to the company’s efforts, local production is meeting national demands.
“We’ve grown into one of Nigeria’s top steel producers. With a daily capacity of coating up to 500 pipes and an annual output of 2 million square meters, we are excited about the future,” Chaudhary stated.
Lagos State Governor Babajide Sanwo-Olu, represented by Secretary to the State Government, Bimbola Salu-Hundeyin, commended Monarch Alloys for choosing Lagos as their investment destination. He noted the facility’s potential to positively impact other sectors like maritime and construction, reinforcing the state’s industrial reputation.
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“The presence of this plant in Ikorodu highlights investor confidence in Lagos. It’s a testament to our conducive business environment and commitment to progress,” the governor said.
Shell Nigeria’s Managing Director, Osagie Okunbor, also pledged Shell’s support, describing pipeline coating as a critical component of oil production infrastructure. He applauded NCDMB for driving local capacity and innovation.
A pipe coating facility like Monarch’s plays a vital role in the oil and gas industry. By applying protective coatings, these plants ensure pipes meet industry standards for durability and resistance to corrosion and environmental wear.
Dignitaries at the unveiling included Senator Adetokunbo Abiru (Lagos East), former Minister of Industry Niyi Adebayo, traditional leaders, and other stakeholders.
