Tech investment, energy sector collaboration to boost manufacturing

Managing Director/Chief Executive Officer of Coleman Technical Industries Limited, Mr George Onafowokan, has called for increased investment in technology and stronger collaboration across the oil and gas value chain to accelerate innovation, improve efficiency and strengthen Nigeria’s manufacturing capacity.

Onafowokan made the call while speaking on the theme, “Driving Energy Innovation: Technology-Powered Pathways for Oil and Gas,” during a panel session at the just concluded 25th NOG Energy Week Conference and Exhibition.

He said technology has become the defining force shaping the future of the global energy industry, noting that digital transformation investment in the oil and gas sector is projected to grow significantly between 2025 and 2030.

According to him, manufacturing has evolved from being labour-intensive to technology-driven, with automation and digital systems boosting productivity while reducing operational inefficiencies.

He recalled that about three decades ago, his factory employed about 120 workers but produced less than one per cent of its current output.

“Today, through automation and technologies such as programmable logic controllers (PLCs), we have embedded quality assurance, quality control, and health, safety and compliance into our production processes while significantly improving efficiency,” he said.

Onafowokan explained that modern production systems enable a single operator to manage equipment that previously required several workers, allowing manufacturers to achieve greater productivity with fewer personnel. He added that advances in artificial intelligence and automation have shortened product design cycles, enhanced value engineering and improved price competitiveness.

Highlighting the impact of technology on local manufacturing, he disclosed that Coleman recently designed and produced a Variable Frequency Drive (VFD) cable for an international oil company within four weeks, reducing the conventional six-month delivery period.

According to him, the cable, previously imported from the United States, is now manufactured locally by Coleman and has been assessed by the client as outperforming the imported alternative.

“We are now the default producer of VFD cables for that international oil company, supplying its offshore facilities on a monthly basis. This demonstrates the long-term value of investing in technology despite the high initial costs,” he said.

Onafowokan stressed that collaboration remains critical to technological advancement, saying no industry can succeed in isolation.

He cited Coleman’s partnership with a technology provider that initially questioned the company’s decision to build a data centre more than a decade ago. He said the partnership has since expanded into artificial intelligence-driven data solutions and Manufacturing Execution Systems (MES), enabling real-time monitoring of production processes and improved operational efficiency.

He said strategic partnerships among manufacturers, technology firms, international oil companies and indigenous operators are essential to building a more efficient and competitive energy ecosystem.

He urged stakeholders to adopt a long-term approach to technology investment, noting that the benefits far outweigh the initial capital outlay.

“The adoption and evolution of technology are not cheap, but the long-term value is enormous. As efficiency improves, productivity increases, competitiveness grows and the investment ultimately delivers stronger returns,” he said.

Onafowokan also advocated increased investment in Manufacturing Execution Systems and collaborative initiatives that would reduce the cost of technology adoption across industries.

He further urged organisations to integrate technology development into their corporate social responsibility programmes to support innovation and strengthen Nigeria’s industrial ecosystem.

Other panellists at the session included Group Managing Director/CEO of GIL Group, Engr. Gbolahan Lawal; Group General Manager, Commercial and Business Development, Oilserv Group, Engr. Cheta Okwuosa; Chief Executive Officer of Tolusi, Tosin Joel; and Transformation Manager, Renaissance Africa Energy Company Limited, Dilys-Ann Owen.