Yemisi Izuora
The Department of Petroleum Resources (DPR) has identified six key areas of operational excellence for Nigeria’s oil and gas industry, advising stakeholders to build a culture in these specific areas.
Engr. Sarki Auwalu, Director, DPR, made this known on Thursday while delivering a keynote address at the 2021 Oloibiri Lecture Series and Energy Forum (OLEF) organised by the Society of Petroleum Engineers (SPE) Nigeria Council.
Auwalu listed the key areas as health, safety and environment; cost performance and return on capital for all stakeholders across all assets, as well as use of appropriate and consistent standards across the entire business.
He said it also included continuous improvement culture that strives to exceed set targets; human capital development and improved reputation based on efficient operations and sustainable business practices.
“DPR will regularly review the industry performance on operational excellence based on the above measures and provide appropriate feedback to respective companies and the industry in general,” the director said.
According to him, the DPR will only use regulations as tools to allow the industry to develop and operate their assets safely, reliably, sustainably and cost effectively.
He noted that the the theme of this year’s event, ‘Operational Excellence and Portfolio Optimisation, Way Forward for the Oil & Gas Industry Post COVID- 19’ was very apt in view of current global realities.
Auwalu said: “It would be recalled that in the wake of the ‘Triple force’ of COVID-19, Oil Price Crash and OPEC+ cuts that impacted the global petroleum industry, the department, under the leadership of the Honourable Minister of State, rolled out four strategic focus fo industry repositioning and business optimisation.
“These measures were to ensure that the Nigerian Oil and Gas Industry survive and thrive in the face of severe economic disruptions and daunting challenges.
” The Department has continued to monitor industry metrics and we are optimistic that the Industry is emerging stronger with key indicators pointing northwards.
“A note of caution is in order though, like the saying goes: ‘The storm may be over; but storms come and go. Storms are part of life’.
“Accordingly, we need to keep our eyes on the ball and make concerted efforts to wade through the fragile business environment by eliminating inefficiencies, reducing cost, building partnerships, and entrenching collaboration in the industry.”
He said the DPR under his leadership was a business enabler and opportunity provider and would continue to incentivise operational excellence rather than focusing on sanctions.
“To achieve improved industry performance and businesses optimisation, DPR has
streamlined its processes and leverage technology to enhance value, reduce industry cost of operations and support business continuity.
” Today, most of our processes are digitised through the DPR suite of business automation solutions for data gathering, reporting, issuance of Licences, Permits and Approvals, inspections, reviews and audits and so on,” Auwalu added.
The DPR boss also urged stakeholders in the industry to leverage on the recently inaugurated National Oil and Gas Excellence Centre (NOGEC)to
drive Safety, Value and Cost efficiency in the industry.