Liberia NOCAL: Signs Deal for Oil Shorebase in Buchanan

Liberia is moving to correct a costly mistake of its past oil boom where millions of dollars in oilfield services and jobs were exported to Ivory Coast, Ghana and Senegal. It is primarily against this backdrop that the National Oil Company of Liberia (NOCAL) and Nigeria's Lagos Deep Offshore Logistics Base (LADOL) Friday signed a Joint Development Agreement (JDA) for the construction and operation of a world-class logistics base in Buchanan, Grand Bassa County. The announcement, made in London, signals what both parties called "a new era for Liberia's oil and gas sector, with a clear focus on local capacity building and economic retention." Under the agreement, LADOL, a leading logistics and industrial free zone developer with extensive experience operating one of Africa's largest shorebases in Lagos, Nigeria, will serve as the technical lead partner to NOCAL in funding and conducting the feasibility study, coordinating the technical engineering design, constructing and operating the shorebase. Follow us on WhatsApp | LinkedIn for the latest headlines The feasibility study is expected to commence in the next 45 days and last for six months. It will cover critical areas including land area assessment, waterfront and marine access, utilities planning, commercial and operational viability, geotechnical & topographical surveys, and Environmental and Social Impact Assessment (ESIA) scoping. A NOCAL statement said a Joint Steering Committee will oversee progress, with definitive project agreements to be completed after the study, and that the parties have also agreed to strict confidentiality and non-circumvention clauses. The Buchanan Shorebase Project is a direct response to a painful lesson learned during Liberia's last drilling campaign, NOCAL said. During that campaign, a significant portion of essential oilfield services, including waste disposal, logistics, supply chain management, and specialized technical support, were sourced from neighboring countries such as Côte d'Ivoire, Ghana, and Senegal. According to NOCAL, this resulted in substantial economic benefits and job opportunities being realized outside Liberia.In anticipation of accelerated drilling campaigns expected from petroleum agreements already signed by the Government of Liberia, with additional concessions to be signed in the future, the project is described as a "massive endeavour in response to the needs of international oil companies." "We are determined to correct that narrative as we prepare for our next set of drilling programs," said Fabian M. Lai, President & CEO of NOCAL."This partnership with LADOL is about more than just building a logistic hub for Liberia. It is about anchoring the value chain of our petroleum sector firmly in Liberian soil. Our goal is to ensure that the jobs, the contracts, the training, and the ancillary services that support our petroleum operations are performed by Liberian companies and create opportunities for Liberian citizens right here in Liberia." In response, LADOL's Executive Chairman, Sir Oladipo Ladi Jadesimi, said the deal reflects confidence in Liberia's oil and gas potential. "This agreement is a testament to our confidence in Liberia's oil and gas potential and our commitment to fostering local content development across West Africa," Sir Jadesimi said."We are not just investors; we are partners in building a sustainable future for Liberia's oil and gas industry. By establishing this shorebase, we can help ensure that Liberian businesses and workers are the primary beneficiaries of the country's natural resources." The agreement outlines a clear path for LADOL's role as technical partner, whereas NOCAL and LADOL will serve as the exclusive developer, operator, and maintenance provider for the facility, with LADOL bringing its proven model of success to Liberia. Buchanan, with its deep-water port, access to the Atlantic, and proximity to Liberia's offshore blocks, has long been tipped as the natural hub for oi