The implementation of the Onne Oil and Gas Free Zone was the object of a detailed and
thorough process. From promulgation of the Decree in March `96, to its ratification by an Inter-Ministerial
meeting in July 97. This involved various Government Arms, collating their efforts through an
Inter-Ministerial Technical Sub-Committee.
The Committee worked in collaboration with the Free Zone Management Consultants and also the "Potential Users."
The establishment of the Onne Oil and Gas Free Zone has been a crucial development in Nigeria.
It is the only Free Zone in the world to focus exclusively on the oil and gas industry. The Onne Oil and Gas Free Zone
was opened by the government during early 1997 in a bid to draw in fresh investment into the country and promote
local and regional economic growth.
The Free Zone is supported by an Oil Service Centre and other facilities to provide oil companies
and service companies alike with virtually everything they need to operate. Most importantly, the Free Zone
offers a highly competitive range of tax concessions plus other investment incentives including minimal bureaucracy,
to ease the flow of business.
The initiative has proved popular so far and is expected to play an important future role in
meeting the needs of domestic and foreign firms within the oil and gas sector. Onne Oil and Gas Free Zone is now the largest
and fastest growing oil and gas transit and supply base in the world today.
West Africa is expected to see a phase of unprecedented growth over the next few years fuelled
by developments in the energy sector. International companies, attracted to the region by its status as a major
low cost oil producer and seduced by the growing potential of natural gas, are becoming
increasingly interested and ready to commit levels of funds previously unheard of in the African region.
But the window of opportunity is open now and companies will need to be in position early to take advantage
of any future growth.
It was decided by the Committee that Onne Oil and Gas Free Zone would be a “mix" of various
types of Free Zone, at various stages in its evolution:
- Firstly, a Free Port.
- Secondly, a Free Trade Zone.
- Ultimately, a Specialized Export Processing Zone.
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