CRESTWWOD PETROLEUM SERVICE LIMITED

NIGERIA CONTENT PLAN

NIGERIAN CONTENT TRAINING

&

DEVELOPMENT PLANS/STRATEGIES

FIRST EDITTION : JANUARY 2017

REVISION REVISION REVIEWED BY EDITTED APPROVED

DATE
REV1 JUNE ,2018 JOHN ABELE FRANK ENE FRANK ENE
REV 2 NOVEMBER, JOHN ABELE FRANK ENE FRANK ENE
2021
REV 3 MARCH, 2023 UCHE UZOMBA FRANK ENE FRANK ENE

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 CRESTWWOD PETROLEUM SERVICE LIMITED
NIGERIA CONTENT PLAN

PREAMBLE

CRESTWOOD is an integrated services company providing specialized

manpower, resources, facilities and knowledge to safely and reliably deliver
performance improvement throughout any project life cycle.

CRESTWOOD was established in 2001 and is a wholly owned indigenous

integrated services company with a staff strength of 30. Our local and expatriate
staff have many years of experience in our areas of operation

Equipment and Facilities

Purchase of new major construction equipment for this project is not envisaged as
CRESTWOOD, currently possess all the construction equipment that will be needed
to execute subject contract in Nigeria.

All consumables, to be detailed later, needed for subject contract execution, will be
purchased 100% locally by our local purchasing department.

WHY LOCAL CONTENT DEVELOPMENT: Our Belief

 No sustainable development of any project without local involvement.

 Enhanced local content development will encourage technological transfer and
empowerment of indigenous participants/stakeholders in oil/gas activities.
 Efficient and competitive local contractors will encourage indigenous
entrepreneurial development and serve as a springboard to launch out as big
Contracting firms with resources and expertise similar to international firms.
 Investment in local content will ensure improvement in standard of living of the
people of the area(s).

AIMS AND OBJECTIVES

 To attract foreign exchange earnings via foreign investment in Nigeria.

 To oil the wheel of progress and sustainable transformation of host communities.
 To encourage capacity building of indigenous contracting firms.

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 CRESTWWOD PETROLEUM SERVICE LIMITED
NIGERIA CONTENT PLAN

 To promote technological transfer to Nigerian business concerns, and position

them on the pedestal to compete favourably with international business firms.
 To maximize indigenous contractors participation in procurement and contracting
activities which must be consistent with QHSE MS and business principles?

INITIATIVE TO ENCOURAGE LOCAL CONTENT

Our experience over the years indicates the following findings

 Contracting policy allows special contract awards to indigenous sub-contractors

especially on unskilled areas.
 Special consideration for pre-qualification of indigenous sub-contractors.
 Contractors safety meetings and technical consultations are held quarterly to
obtain feedback on project management constraints.
 No withholding fee for local contractors.
 On time payment of invoices for local sub- contractors.

IMPLEMENTATION PLAN

 The projected level of local content to be achieved and a breakdown of how this
shall be achieved include:
(a) About 70% of jobs requiring no special expertise are awarded to indigenous
sub- contractors.
(b) Only 30% of contracts which are capital intensive in nature are reserved for
other Nigerians and non-local participation.
(c) Lower skilled labour contracts are assigned to YOUTH BODIES and CDCs
of project communities; while more complex work types are awarded to non-
local sub- contractors.
All local purchase orders LPOs) are executed by Nigerians and host communities.

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 CRESTWWOD PETROLEUM SERVICE LIMITED
NIGERIA CONTENT PLAN

LOCAL CONTENT POLICY

CRESTWOOD is committed to the development of the local content of its business as

part of immense contribution to the sustainable development of Nigeria and project
bearing communities in particular.

In line with our community relations and social response and contracting policies,

 CRESTWOOD shall utilize goods and services procured in Nigeria and

project host communities in Nigeria, especially the Niger-Delta.

 CRESTWOOD shall continue to develop indigenous sub-contractors and

utilize local labour and locally manufactured materials wherever possible
as enshrined in the contracting policy.

_____________________

FRANK ENE
MANAGING DIRECTOR
Date: 30th March, 2023

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 CRESTWWOD PETROLEUM SERVICE LIMITED
NIGERIA CONTENT PLAN

Enhancing Nigerian Content

The overall Nigerian Content Plan will further be developed and signed off in quantifiable
manner for easy tracking and monitoring after contract award. Developing Nigerian content in
THE CLIENT project will be the responsibility of the JV Management in conjunction with the
project management team using the following steps:

STEP PROJECT TEAM ACTIVITY

01 Review the following proposed Nigerian Content Plan with THE
CLIENT and set target deliverables with action points and parties
02 Identify and agree on those activities that will be completed locally
and especially for procurement of short fall materials and design
verification as well as all other services necessary for timely and
quality project delivery.
03 Identify the local labor or servicing companies possessing the
necessary skills to complete the activities as identified in Step 02, set
targets and performance indicators
04 Review local labor utilization and training plans with job skills
acquisition plans for local staff and Nigerian Staff
05 Review and update records of Nigerian Content Enhancement Plan
with THE CLIENT and issue regular reports in line with reporting
frequency

If no local skill can be identified during the above steps, CRESTWOOD Consortium will
commence a process of training the local labor to a suitable level such that they have
the necessary skills and can be employed on the contract.

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 CRESTWWOD PETROLEUM SERVICE LIMITED
NIGERIA CONTENT PLAN

Development of local labour and transfer of skill

CRESTWOOD recognizes the need for the development of local labour and will limit its
dependence on expatriate personnel to a few key management positions (IF
NECESSARY) and would wherever possible employ Nigerian nationals.

Further to the development of direct labor, CRESTWOOD will initiate a management

training scheme whereby competent local employees will be identified and assigned to
discipline managers for understudies. When performing work in remote locations the
availability of skilled labor is possibly further reduced.

The possible lack of skills within communities local to the work area initiated the
development of CRESTWOOD policy, which addresses these inefficiencies and
identifies the method applicable for solving the labor shortage and issues surrounding
the employment of community members.

Level of Nigerian Content in this Project

A high level of Nigerian content up to 95% in personnel utilization and 80% equipment
ownership as well as 75% services supplies through other companies by sub-
contracting has so far been identified in the overall management of the project, but this
will further be optimized during the course of mobilization. Nigerian content.

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NIGERIA CONTENT PLAN

Percentage of Nigerian shareholders in the

consortium / shares
CRESTWOOD is a 100% indigenous company.
Percentage Nigerian Shareholders in the company/shares is 100%
The Nigerian Company is also the Focal Point for the Joint Venture

ALL Personnel (Percentage of Nigerians)

The tables below serve to provide an indication of the level of Nigerian Staff who will likely be
employed or recruited for Client and Services contract .

DISCIPLINE QUANTITY NIGERIAN EXPATRIATE

Percentages
Drilling Completion and Intervention 10 90 10
Pipeline and Process 10 90 10
Production Support 10 90 10
Rig Crews 6 90 10

Strategic Resourcing 4 70 30
Subsea and Inspection 4 70 30
Logistics Transport Supervisor 3 100 0
HSE MANAGER 1 95 5
QA/QC MANAGER 1 90 10
Financial Manager 1 100 0
Admin Manager 1 100 0
Procurement Manager 1 100 0

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Proposed Summary of Nigerian Content (Management, Supervision and Direct

Labour)

Discipline Nigerian Expatriate

Project Management 3 0
Supervision 6 0
Direct Labor 45 0
Estimated Overall % 100% 0%

Materials and Consumables to be procured locally

ITEM

Materials
1. All structural steelwork.
2. All Rope Access Materials
3. Paints, Insulating and Lagging Materials
4. Couplers, general fittings, scaffold tubes/boards, bracing materials,
ties, erecting/storing ladders, knots
5. Protective coating-paints and protective linings

Consumables
1. PPE – hardhats, Eye glasses, overall and Safety boots
2. Office stationery

The above information attempts to provide an understanding of the level of Nigerian

content that can be expected within any contract.
CRESTWOOD will at all times endeavor to procure any item, or employ any labor,
required for the contract within the borders of Nigeria.

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 CRESTWWOD PETROLEUM SERVICE LIMITED
NIGERIA CONTENT PLAN

The value of Nigerian content with respect to direct labor will be very high as the
CRESTWOOD will maximize the employment of local labor.

2 MATERIALS/CONSUMABLES

TYPE OF PERCENTAGE
MATERIAL/CONSUMABLES
Industrial gas 100%
Fuel and Lubricants 100%

Other operations materials 100%

Other Office Materials 100%

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