In a decisive move to strengthen local manufacturing and enhance value retention in Nigeria’s oil and gas sector, the Federal Government has officially prohibited the issuance of waivers for importing threaded pipes. This directive was issued by Heineken Lokpobiri, Minister of State for Petroleum Resources (Oil), during the commissioning of Monarch Alloys Limited’s new concrete weight coating facility in Lagos.
The newly inaugurated plant boasts an annual external coating capacity of two million square metres and one million square metres for internal coating, designed to meet the demands of both onshore and offshore pipeline projects. With deeper offshore operations requiring advanced corrosion protection, the facility marks a significant milestone in building Nigeria’s industrial capacity.
Speaking at the event, Lokpobiri emphasized that Nigeria’s local content policy must translate into real economic benefits by supporting domestic producers. “We will no longer tolerate the dumping of pipes or similar products. It is our responsibility to back local industry so it can thrive,” he declared, calling for increased patronage of indigenous manufacturers.
Also present at the commissioning was John Enoh, Minister of State for Industry, Trade, and Investment, who commended Monarch Alloys for its contribution to import substitution, job creation, and value chain expansion. He remarked that the project exemplifies the kind of public-private partnership that drives economic transformation.
“This investment reflects our ministry’s agenda to promote industrial growth, attract partnerships, and provide employment opportunities. Industrialization is the backbone of sustainable economic development,” Enoh added, reaffirming the government’s commitment to providing an enabling environment for investment.
Felix Ogbe, Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), praised Monarch Alloys’ efforts, noting that the plant aligns with the objectives of the Nigerian Oil and Gas Industry Content Development Act. According to Ogbe, reliance on foreign suppliers for pipeline coating has historically drained resources and limited local capacity. The new facility, he said, changes this narrative.
“The plant introduces world-class 3LPE and concrete weight coating capabilities into Nigeria. It ensures technical excellence while retaining economic value within our borders,” Ogbe noted. He also highlighted its impact on job creation, skills development, and the local supply chain, urging operating companies to increase collaboration with indigenous service providers.
Atul Chaudhary, Managing Director of Monarch Alloys, revealed that the plant was completed in just 18 months and announced future plans to establish a Longitudinal Submerged Arc Welding (LSAW) pipe mill to further meet the evolving needs of Nigeria’s energy sector.
This development signals a stronger push toward self-sufficiency and industrial deepening, aligning with Nigeria’s broader economic diversification strategy.