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MMEC 2025: Nigeria Proposes that Mozambique Establish a National Gas Capacity Building Fund

MMEC 2025: Nigeria Proposes that Mozambique Establish a National Gas Capacity Building Fund

During the panel “Global Perspectives: Roundtable on Petroleum, Mining and Energy Laws,” held on Thursday (May 8) as part of the second day of the 11th Mozambique Mining and Energy Conference and Exhibition (MMEC 2025), Nigerian representative Abdulmalik Halilu, Director of the Nigerian Content Development and Monitoring Board, advocated for the creation of an autonomous national fund to ensure capacity building and the sustainable development of local content in Mozambique’s oil and gas industry.

“In our case, the implementation of local content only became sustainable when we stopped relying on the State Budget. We created a dedicated fund, financed by 1% of all contracts in the upstream segment, and it is from this fund that we train technicians, support national companies, and monitor results,” Halilu explained.

The session was part of a broader discussion on the need for legislative reforms in Mozambique to establish a modern, inclusive legal framework that promotes national participation in the extractive sectors. Ongoing revisions to the Petroleum Law, the Mining Law, and regulations governing the production, transport, marketing, and export of electricity were also discussed.

Halilu emphasized that Nigeria’s experience shows it is not enough to have laws on paper. Success depends on dedicated financing mechanisms, continuous monitoring, and, above all, high-level political support.

“Even before the law existed, we operated with a clear policy and defined targets. But it only worked because the Mozambican President was directly involved and demanded compliance from companies in the sector,” he stated.

In his remarks, the Nigerian expert stressed that the concept of local content must go beyond simply hiring local labor; it should be anchored in internal technical development, industrialization, and the creation of structural linkages with other sectors such as higher education, industrial manufacturing, and engineering.

“You can’t talk about high-voltage cables without involving the manufacturing sector, nor about technical skills without the involvement of universities. Local content only works when there are real synergies between sectors,” he argued.

The panel featured international experts who shared examples of successful legal reforms in other African countries, highlighting cases where robust legal frameworks led to measurable economic and social benefits for local populations.

The event is attended by government representatives, business leaders, academics, regulators, and international development partners. Key topics under discussion include attracting financing for energy infrastructure, adding local value to minerals, the role of energy in agriculture and tourism, and the development of cross-border industrial corridors.

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