Oil

DICON and OIDA Energy to Launch First Indigenous Oilfield Shaped Charge Facility

Major General Babatunde Ibrahim Alaya, Director General of Defence Industries Corporation of Nigeria (DICON) and Engr. Emeka Ene, Managing Director/CEO of OIDA Energy during the formal signing of the MoU to establish Nigeria’s first in-country oilfield shaped charge manufacturing facility.

 The Defence Industries Corporation of Nigeria (DICON) and Oida Energy Limited have signed a landmark Memorandum of Understanding (MOU) to establish Nigeria’s first in-country oilfield shaped charge manufacturing facility. This pioneering development marks a bold step in strengthening Nigeria’s industrial and energy base, positioning the nation as a hub for indigenous production of critical upstream oilfield technologies.

The formal signing ceremony, held at the Armed Forces Officers’ Mess & Suites in Abuja, gathered high-ranking officials, industry leaders, and key stakeholders from across Nigeria’s defence, security, and energy value chains. Attendees included the Director General of DICON, the Managing Director/Chief Executive Officer of Oida Energy, representatives of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), the Office of the National Security Adviser (ONSA), and senior directors of both organizations.

The facility represents a strategic milestone that supports Nigeria’s drive for self-reliance in critical technologies. Aligned with the Federal Government’s industrialization agenda, it will deepen local content, conserve foreign exchange, and reduce reliance on imported oilfield explosives. By producing safe and reliable shaped charges domestically, the project will enhance upstream petroleum operations, safeguard energy security, and reinforce national defence preparedness.

“The agreement is a decisive move towards building indigenous capacity in sensitive and strategic technologies that are critical to both national security and economic growth,” said Major General Babatunde Ibrahim Alaya, Director General of DICON.

Beyond its security benefits, the initiative will deliver broad socio-economic value—creating skilled jobs, enabling advanced technology transfer, and opening opportunities for Nigerian service companies across the oil and gas value chain.

“This partnership underscores our dedication to delivering world-class local manufacturing solutions that will strengthen Nigeria’s energy and security value chains, while empowering our workforce and conserving vital national resources,” said Engr. Emeka Ene, Managing Director/Chief Executive Officer of Oida Energy.

Special recognition was given to the Nigerian Content Development and Monitoring Board (NCDMB), whose leadership and oversight ensured alignment with Nigeria’s local content policy and long-term industrial growth. The Honourable Minister of State for Petroleum Resources (Oil) was also commended for his strong policy support, which created the enabling environment for this milestone.

This MOU is a powerful example of government, regulators, and industry working together to advance national priorities. It stands as both a milestone for the oil and gas sector and a defining moment in Nigeria’s pursuit of technological independence and sustainable development.

 

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