Can you please introduce Future Oilfield Services Limited?

Future Oilfield Services Limited (FOSL) is part of the Future Concerns Group and is 100% Nigerian-owned and has expanded its operations with three major offices in Lagos, Port Harcourt, and Warri. The group's history dates from 1997 and was initially established as a safety company to provide HSE equipment such as PPE, gas detectors, etc., for the oil and gas industry. As the industry evolved and local content initiatives were introduced, we expanded our services to include oilfield support and automation calibration technical services. FOSL was officially launched in 2014, followed by the establishment of Future Automation Calibration Technical Services in 2015. The Group’s focus on HSE services aligns with our portfolio and provides us with essential support for safety solutions and practices. Future Automation Calibration Technical Services (FACTS), on the other hand, addresses the calibration and automation needs within the oil services sector, leveraging innovations from our sister company. This integration allows us to enhance our efficiencies and processes, creating a seamless synergy between safety and operational excellence.

Can you discuss the portfolio offered by FOSL? 

Our offerings include oilfield support services, engineering procurement, commissioning, installation, and construction (EPCIC), project management, early facility production, as well as automation and calibration services. We are currently involved in several projects aimed at upgrading both onshore and offshore surface facilities. One notable project we are undertaking involves a collaboration with the Nigerian National Petroleum Corporation stakeholders to retrofit and enhance separator internals in the Niger Delta in Nigeria. This project aims to improve water and sand management within their operations, ensuring more efficient and sustainable production processes. Another major initiative is our partnership with Platform Petroleum, where we are working on upgrading their surface facilities to incorporate improved water treatment plants. This comprehensive upgrade includes addressing produced water reinjection requirements and providing surface pumps for reinjection, ensuring a holistic solution to their production challenges. Furthermore, we are engaged in projects with other clients, like Newcross, Seplat and SPDC, etc., where we provide specialized equipment and services tailored to their unique needs. 

What are some major challenges faced by FOSL?

We have built our business around overcoming Nigeria’s onshore/offshore technical challenges. Aging infrastructure in many oilfields presents significant technical hurdles, as these facilities were designed decades ago and are not equipped to handle current production demands. To address this, we employ innovative solutions and technologies to retrofit and upgrade existing infrastructure, ensuring optimal performance. The oil and gas industry is highly influenced by various government policies, which can impact our operations significantly. For instance, changes in taxation or regulatory frameworks can affect project and investment decisions. The volatility of oil prices poses a significant challenge. Fluctuations in oil prices directly impact client spending and project viability, leading to fluctuating demand for our services. A particular challenge for our industry in Nigeria has been security concerns; the cost burden of security measures can sometimes account for 40% of total project costs. 

Where does FOSL perceive opportunities for growth? 

One significant area is the transition towards renewable energy sources. There is a global shift towards greener alternatives which presents a promising opportunity within the energy sector. We are particularly interested in leveraging advancements in renewable technologies such as wind and solar energy. Additionally, we are venturing into fuel cell technology in collaboration with CEC Solutions, a US-based partner, which will allow us to convert gases like propane and methane into usable energy, thereby tapping into a new segment. Moreover, we see potential in the digital transformation of the industry. By embracing automation and digitization, we can streamline processes, enhance efficiency, and reduce costs. We have made significant strides in automation of existing infrastructure. By incorporating advanced equipment and chemical treatments we can minimize environmental impact while optimizing resource utilization. Moreover, investments in research and development have yielded breakthroughs in various areas, including enhanced oil recovery techniques.

Can you discuss your future objectives and priorities?

Our top priorities include safety and fostering an independent HSE culture for FOSL. Additionally, we are investing heavily in R&D and staff development through training programs. Digitization is key to improving operational efficiencies, cutting costs, and delivering top-notch technology at competitive prices to our clients.