Oil Price Slump: Snake Island Free Zone, Nigerdock Target 30% Cost Reduction

Ejiofor Alike

The Chairman of the Snake Island Integrated Free Zone (SIIFZ), Mr. Anwar Jarmakani has said that the free zone and Nigerdock were determined to bring down the operational costs of oil and gas logistics and supply services by 30 per cent in the face of the slump in crude oil prices and in line with the zone’s commitment to promote foreign and domestic investment and improve Nigeria’s global competitiveness.

Speaking during a recent visit of the Comptroller-General of Nigeria Customs Service (NCS), Mr. Hameed Ibrahim Ali to the free zone in Lagos, Jarmakani said with globalisation, professionally and transparently managed free zones were a critical instrument to promoting foreign direct investment.

According to him, the Snake Island Integrated Free Zone is the first privately-owned, funded and operated free zone in Nigeria.

He noted that it is a wholly-Nigerian owned free zone, occupying 252 hectares of land and offering a safe and secure environment for investors.

“We have made additional investments in excess of $500 million of private funds over the last few years in developing a unique, fully integrated oil and gas one-stop-shop on Snake Island,” he said.
He listed some of the achievements of Snake Island Free Zone to include, creation of over 6,000 direct jobs within the zone; supporting over 100,000 families through indirect jobs; delivering many landmark national projects for the oil and gas industry operators; delivering first fabrication for Total and Samsung on the Egina Floating Production Storage Offloading (FPSO) vessel project, and delivering over 27,000 training programmes.

Jarmakani noted that the zone which is currently training personnel of the Total and Samsung Egina FPSO project, had also trained over 6,000 people for the industry at the Training Centre in Snake Island.
According to him, these achievements demonstrate the importance of Snake Island Integrated Free Zone as a catalyst to the economic repositioning of Nigeria.

“Free Zones represent critical national infrastructure that are pivotal to the economic repositioning of our great nation and this will deliver Mr. President’s change agenda. Free zones increase and expand our industrial base and improve investments in the country,” he said.

“Snake Island Integrated Free Zone and Nigerdock are open for competitive business and we are determined to bring down your operational costs by at least 30 per cent,” Jarmakani added.