“The Group Managing Director, NNPC, Maikanti Baru, disclosed this while speaking on efforts being made to achieve self-sufficiency in local refining besides the rehabilitation of Nigerian refineries.”
The Nigerian National Petroleum Corporation on Tuesday announced plans to establish a 100,000-barrels-per-day brownfield refinery each in Port Harcourt, Rivers State and in Warri, Delta State.
It said the plan was part of its refinery collocation initiative designed to boost local refining capacity to end the era of petroleum products importation, adding that a group of investors had commenced the process of relocating a refinery that used to be owned by BP from Turkey to Nigeria.
The Group Managing Director, NNPC, Maikanti Baru, disclosed this while speaking on efforts being made to achieve self-sufficiency in local refining besides the rehabilitation of Nigerian refineries.
According to a statement issued by the corporation’s Group General Manager, Group Public Affairs Division, Ndu Ughamadu, in Abuja, Baru said that the refinery from Turkey would be relocated and installed near the Port Harcourt refinery under the NNPC refinery collocation initiative.
He was quoted as saying, “Our collocation initiative aimed at getting private sector investors to bring in brownfield refineries so that they can share facilities is also yielding results. For example, there is one that is going to be brought in from Turkey to be located near the Port Harcourt refinery.
“It’s not a modular refinery; it’s a normal refinery with about 100,00bpd capacity. It was owned by the BP, but it has been sold off now to the companies that want to bring it over from Turkey to install it here.”
Baru further explained that a similar plan to establish a brownfield refinery near the Warri refinery was also in the offing.
“There is another one of about the same size being looked at to be sited near the Warri refinery. But the one for Port Harcourt is at a more advanced stage. Our drive at the NNPC, as a leader in the industry, is to expand our local refining capacity and make Nigeria a global refining hub,” he said.
The NNPC in an apparent response to reports of a possible resort to “proceeds of gas tariffs” as a new means of funding because of a purported collapse of negotiation with Chinese lenders, said the contractor finance arrangement was still intact.
It said the Engineering Procurement Construction contractors and possible lenders were currently in Dubai to discuss the financing terms.