The Nigerian Content Development and Monitoring Board (NCDMB) recently executed a US$20 million Managed Fund Agreement with the Nigerian Export – Import Bank (NEXIM that is designated as the Women in Oil & Gas Intervention Fund. The Scheme is an interventionist offshoot from the Nigerian Content Development Fund (NCDF), which is designed towards promoting the building and deepening of indigenous capacities and capabilities of women entrepreneurs / industrialists to fully participate in the Nigerian Oil and Gas Industry.
The NCDMB Women in Oil & Gas Industry Fund will support the activities of predominantly women owned, dominated and /or managed companies operating in the oil and gas industry to avail short to medium / long term financing. The Funds would be applied to support the scope of activities under Features of the Scheme below.
The partnership between NCDMB and NEXIM under the scheme is in accordance with the mandates of both organisations toward the promotion and development of services-related companies to effectively compete domestically and internationally, especially against the backdrop of the African Continental Free Trade Agreement (AfCFTA).
The synergy is also in the realisation of the growing influence and dominance of Nigeria’s services sector with an annual contribution of over 50% to the GDP.
Objectives of the Scheme
The NCDMB Women in Oil & Gas Scheme is designed to achieve the following strategic objectives:
- Boost indigenous participation of women in the oil and gas industry, build local capacity and competencies.
- Promote the growth and development of Nigerian Content in the provision of services by women to the Nigerian Oil and Gas Industry.
- Address persistent funding challenges that have constrained capacity and growth of women participation in services provision in oil and gas related activities..
- Facilitate and support start-up companies in participation and provision of services to the upstream oil and gas sector.
- Enhance productivity and women-related jobs creation in the Oil and Gas Industry.
- Enhance skill acquisition and competences of women in oil and gas related activities as well as improve their rating to undertake exports of services in the sector.
Eligibility Criteria / Target Market
The target market comprises women who are either entrepreneurs in the Oil and Gas industry holding majority shareholding (51%) in the obligor-company or part of Management whereby minimum of 50% are women.
Eligible Applicant / Qualification
Only duly registered oil-industry service company / contractor shall be eligible under this Scheme. Such shall also be:
- Duly registered/incorporated companies in Nigeria.
- Commercially viable and have contract relationship with IOCs.
- Applicant that meets ANY of the following Qualifications is eligible to access loan finance under the scheme: *Capacity Building (including financial advisory/ literacy), Project Finance, Asset Acquisition Entities with a minimum of 51% ownership by women OR Entities where at least 50% of Management positions are occupied by women OR Entities where the CEO and minimum of 40% ownership are women
Eligible transactions to qualify for funding support under this Scheme shall comprised of various scope of activities relating to women participation in the Oil & Gas Industry, and that are catalytic for the industrialization of the sector viz;
- Manufacturing (equipment, components, accessories)
- Oil Service Contracts (Oilfield and Office Supplies, Security, etc.)
- Environment management.
- Training, etc.
Eligible loans under this Scheme include the following:
- Working Capital
- Invoice Discounting Facility (IDF)
- Term Loan/Asset Finance.
- Lease Finance Facility (LFF)
All applications under this Scheme shall be online through a dedicated portal created by NEXIM for the scheme. Applications under this Scheme with full documentary requirements shall be processed within 21 working days.
All applications shall be accompanied by the underlisted Certified True Copies (CTC) of the following documents;
- Incorporation documents
- Contract/Payment Invoice
- Proforma Invoice, where applicable
- Copy of latest Audited Accounts/ Financial Statements
- Financial Summary Sheet (as per template)
- Completed Questionnaire/Checklist
- Registration of Invoices/Movable Assets with National Collateral Registry
- Assignment of contract(s)
- Domiciliation of Proceeds/Assignment of receivables
- ISPO from Receiving Bank(s)
- Assignment of receivables
- Personal Guarantee of the Directors
- Association Guarantee
- Insurance with NCDMB/NEXIM noted as loss payees