Elisabeth Deeb - T&M Associates

Localization & Local Content in the U.A.E

Joint Business Group Breakfast Seminar

On Wednesday Oct. 30, 2019, six Business Councils in Abu Dhabi along hosted a joint seminar on “Localization & Local Content in the UAE: Where are we? Where are we heading?” Invited speakers included Dr. Tom Deeb, T&M Associates

Localization programs have a long tradition in the UAE. While the defense industry has typically used “offset” or Industrial Cooperation programs, ADNOC has launched an In-Country Value (ICV) program, which was followed by the Abu Dhabi Value (ADV) program soft-launched by the Department of Economic Development (DED) in Abu Dhabi. Offset and ICV/ADV programs are procurement-driven and require a reciprocal economic contribution to the UAE, of a designated percentage of the value of the contract awarded. Foreign defense companies are granted offset credits under the Tawazun program in exchange for meeting their localization commitments. Under the ICV/ADV programs, suppliers are granted a localization score based on their local “footprint”.

Agenda:

Welcome Address by Oliver Oehms, CEO, German Emirati Joint Council for Industry & Commerce (AHK)

Legal Insights on ADNOC’s In-Country Value Program (ICV); Department of Economic Development’s Abu Dhabi Value Program (ADV); and Tawazun Economic Council’s Economic Program by Dr. Constantin Frank-Fahle, LL.M., Senior Lawyer, SCHLÜTER GRAF Legal Consultant

Localization Programs in the UAE – Update on the Programs’ Status, by Dr. Tom Deeb, T&M Associates

Finding and Implementing a Unified Localisation Strategy in the GCC by Michael Hackenbruch, Senior Manager Commercial, McDermott

The Tawazun Economic Program and Synergies with ICV/ADV by Kim Schofield, Managing Partner, O2K Limited

Panel Discussion: How can the defense and oil & gas industries collaborate to satisfy their localization/offset requirements? Synergies between the industries and opportunities to leverage.

Doug McEwan, Director of Marketing and Contracts – Middle East and Asia, Borr Drilling Management DMCC

Helmut Reichelt, Head of Diehl Defence Representative Office Abu Dhabi

Jens Winkelmann, Managing Director, Endress+Hauser UAE

Moderation: Oliver Oehms, CEO, German Emirati Joint Council for Industry and Commerce (AHK)

Participating Business Groups:

Amcham Abu Dhabi
BENELUX Business Council
British Business Group Abu Dhabi
Canadian Business Council Abu Dhabi
German Emirati Joint Council for Industry & Commerce (AHK)
Swiss Business Council

Oil & Gas in GCC: Opportunities Abound

Benelux Business Council Breakfast Seminar at ADIPEC

On November 12, 2019, Dr. Tom Deeb presented “Oil & Gas in GCC: Opportunities Abound”, at the Abu Dhabi International Exhibition & Conference (ADIPEC).

Dr Deeb presented the opportunities, challenges, and ways companies can differentiate themselves in this market. Dr. Deeb’s presentation included:

the role of Value Add programs, such as Saudi Aramco’s iktva and ADNOC’s ICV,
how Value Add programs can be used as a tool to differentiate and gain a market advantage
how Value Add programs help European suppliers gain greater share or new markets in the GCC.

Elisabeth Deeb, T&M Associates, also attended the Benelux Business Council Breakfast Seminar at ADIPEC and was available to answer questions.

Localization Programs in the UAE

PESA Middle East District Meeting

On November 12, 2019, Dr. Tom Deeb presented “Localization Programs in the UAE”, at the PESA Middle East District Meeting. Dr. Deeb discussed the importance of economic development to the UAE and gave an update on the progress of the ADNOC ICV program.

Opportunities in Oil & Gas in the Middle East

Danish Export Association Member Conference

In September 2019, Elisabeth Deeb, T&M Associates, was invited to present “Opportunities in Oil & Gas in the Middle East” at the Danish Export Association Member Conference in Esbjerg, Denmark.

ICV: Achievements, Expectations and Business Implications

Joint Abu Dhabi Seminar

On April 25, 2019, AmCham Abu Dhabi invited Dr. Tom Deeb, VP T&M Associates, to speak on “ICV: Achievements, Expectations and Business Implications”. Dr. Deeb discussed the achievements, expectations and business implications of ADNOC’s In-Country Value Program.

Dr. Dalia Samra-Rohte (Deputy CEO, AHK) moderated the seminar. Dr. Constantin Frank-Fahle, LL.M. gave insights on the legal impact of ADNOC Group’s In-Country Value (ICV) program. The program concluded with a panel discussion on the practical experiences with ICV with Michael Bueker (Chief Financial Officer of Siemens LLC) Steve Abbiss (General Manager of TechnipFMC) and Vaishak Mantodi (Sales Abu Dhabi Region, Wika Middle East).

AmCham Abu Dhabi, British Business Group, BENELUX Business Council and the German Emirati Joint Council for Industry and Commerce (AHK) hosted this event.

Managing Localisation Programs – Is it time for a Chief Localisation Officer

In a very interesting article, SCHLÜTER GRAF Legal Consultants make the argument that for companies to survive and thrive in the ever-changing Value Add and Local Content Oil and Gas world, they will need to invest in management level human resources. The rational for this is quite straight forward: various National Oil Companies (Aramco, ADNOC, PDO and now QP) all have specific Value Add programs, each program is different, there is no mutual recognition, the programs change over time, and it is a requirement to participate in order to do business with these oil companies or their supply chains.

Understanding the programs, how to maximize the benefit of the programs to your company, determining the strategies required for successful participation as measured by winning tenders requires a management level position to oversee the programs and compliance. In addition, as each program is different there are specific legal and tax implications.

For the full article please download here: 181213 Managing Localisation Programs chuelter graff (1)

Dr. Tom Deeb in Keynote Speaker at ADIPEC Kick-Off Breakfast

On November 12, 2018, Dr. Tom Deeb was the Keynote Speaker at AmCham Abu Dhabi’s ADIPEC Kick-Off Breakfast.

Dr. Deeb spoke on Unconventional Oil and Gas in the GCC. Elisabeth Deeb also attended the Kick-Off Breakfast.

ADNOC Launches Version 2.0

November 2018, ADNOC launched enhancements to their In-Country Value Program under version 2.0. The program has undergone key upgrades designed to help suppliers capture all their value add activities. Furthermore, ICV Improvement Plans are a part of the contract award process and allow suppliers to demonstrate future value add. The Improvement Plan will be taken into consideration, along with historical performance. Based on the ICV Improvement Plan committed to by suppliers, ADONC will now tie ICV performance to contractual progress payments worth 5% of the contract value.

For more information: Click Here

Implications of ADNOC’s ICV (In-Country Value) Program

AmCham, AKH, and Spanish Business Group Joint Seminar

On September 17, 2018, Dr. Tom Deeb of T&M Associates was invited to speak on the regulatory framework and the requirements of ADNOC’s ICV program. Dr. Deeb stressed the importance for businesses to register and participate in the program.

The Joint Seminar started with a welcome speech by Dr. Dalia Abu Samra-Rohte from the AHK, ADNOC´s representative Mona Balalaa gave a short introduction about ADNOC and proceeded with a detailed overview of the ICV program and an explanation of the different components. Following that, Mr. Guillermo Cobelo, Country Manager of Técnicas Reunidas, talked about his practical experiences with ICV programs and then Dr. Tom Deeb gave his presentation. Last, Dr. Constantin Frank-Fahle of SCHLÜTER Graf Legal Consultants explained the legal aspects of the program, starting from the enforcement and set up options up to licensing and security permits.

The Next Wave: The Next 50 – Evolution of the Industry

2018 Committee (12 of 16 members from across the world and industry sections, 13 companies and 5 of the OTC sponsoring organizations)

OTC 2018 marked the 10^th and final Next Wave program, a young professional networking and career development event. This year’s program focused on the changes in the O&G industry over the last 50 years, the technology improvements and disrupters that will come in the future, and how to manage your career as a young professional. Round table discussions included cyber security, improving products by working with software vendors, and work-life balance.

Next Wave 2018 presented 2 exciting key note speakers. Emeka Emembolu, Vice President Reservoir Development, Gulf of Mexico at BP, spoke about his career journey from his start in the UK to his postings in Alaska, and his current position in Houston. He highlighted the impact these postings had on both his career and his personal life. His career advice was to do good work and the promotions will come.

Åshlid Larsen, CIO and Senior Vice President IT for Statoil (now Equinor), spoke about technological changes in the energy industries; how O&G companies are expanding into alternative energies such as solar and wind, and on what to expect, both career-wise and technology-wise, in the next 50 years of O&G.

Elisabeth Deeb, T&M Associates Business Development Manager, attended OTC 2018 and has been active on the Communication Outreach Subcommittee of Next Wave 2018.