The National Petroleum Investment Management Services (NAPIMS) is a corporate services unit in the E&P Directorate of the Nigerian Petroleum Petroleum Commission(NNPC), which supervises the Nigerian Petroleum Exchange (NIPEX) registration. The purpose of NIPEX is to register supplier, vendor and contractor with the Nigerian National Petroleum Corporation(NNPC) and also for all other Exploration & Production(E&P) companies in Nigeria. There are several requirements for NAPIMS registration, which every vendor must provide before it can be duly registered for NIPEX.
NIPEX is an electronic one-stop transaction centre that improves on value procurement in the oil and gas industry and institutionalizes world-class contracting processes in Nigeria. The electronic contracting platform uses product codes to identify the type of products and services a company will have as an option and whether it is permitted to operate in the Nigerian oil and gas sector.
The Nigeria Petroleum Exchange (NIPEX) is a platform where servicing companies can bid and tender for contracts from multinational and national companies. If a company is registered with NIPEX it implies the company is registered to do business with all upstream companies in Nigeria in its field of expertise. The main objective of the NIPEX registration is to link buyers and suppliers or service provider by establishing an industry-wide standard for business transactions and providing a comprehensive platform that showcases each vendor capabilities.
The process for registration for NIPEX permit involves the following steps:
The NAPIMS registration requirements include the followings:
COMPANY & OFFICE SET UP REQUIREMENTS FOR NIPEX
Due to the sensitivity of NIPEX process, every company seeking to register under NIPEX must ensure it follows a standard company procedure and has well-running office space. A NIPEX registration cannot be processed by a company that currently does not have a functioning office.
Apart from having a functioning office space with all necessary office facilities, any company seeking to register with NIPEX must also retain a Health Safety & Environment(HSE) Officer who shall be responsible and monitor health and safety, assess risk and design strategies to reduce any potential hazards the company’s workplace or location. The company’s HSE documents and other relevant documents shall be inspected by the agency in the course of registration.
In conclusion, the oil and gas industry service permit is a statutory requirement for Nigerian registered companies seeking to render services in the oil and gas upstream industry. The NIPEX Permit is a prerequisite to enter the upstream industry and bid for contracts.
By Oil & Gas Law Team at Resolution Law Firm
Email: [email protected]