Fresh concerns have been raised over the future of the Eraskon Lubricant and Chemicals Blending Plant in Obunagha, Yenagoa Local Government Area of Bayelsa State, as severe coastal erosion continues to devastate the multi-billion-naira industrial project.
The Paramount Ruler of Obunagha Community, HRH Yeseibo Peremobowei, has appealed to the Federal Government for urgent intervention, warning that the erosion has already destroyed a major section of the facility and is now threatening critical storage infrastructure.
The monarch made the appeal during an inspection of the project alongside the member representing Yenagoa/Kolokuma/Opokuma Federal Constituency in the House of Representatives, Oboku Oforji, and Chairman of Erasko Group, Maxwell Oko.
He described the project as a major economic lifeline for the community, noting that it was expected to generate over 1,200 direct and indirect jobs while boosting Nigeria’s local manufacturing capacity.
“We were very happy when this gigantic project was brought to our community because of the enormous benefits it would bring to our people.
Today, we are deeply saddened because erosion has become a serious threat. A massive factory building has already been washed into the river, and the erosion is fast approaching the storage tanks. Both the Federal and Bayelsa State governments must act urgently to save this investment,” the monarch said.
He urged the government to deploy erosion control experts to protect the shoreline before the remaining infrastructure is lost.
Chairman of Erasko Group, Maxwell Oko, said the project, situated on a 45-hectare site, had reached about 90 percent completion and was originally scheduled for commissioning in 2022 before the erosion crisis stalled construction.
According to him, the erosion swept away an 85 percent completed factory building after destroying the steel sheet piles protecting the site.
“The storage tanks are now dangerously exposed, forcing us to undertake temporary protective measures to prevent further damage,” Oko said.
He explained that the company commissioned a one-year engineering study after the disaster, with the findings recommending permanent remediation works during the low-tide season in December.
“If we do nothing before then, we risk losing the tanks as well. That is why we are carrying out temporary protective work while waiting to implement the permanent solution,” he said.
Oko commended Oforji for inspecting the facility and appealing to the Federal Government to deploy ecological funds to save the investment.
He stressed that the company was not considering relocating the project, expressing optimism that government intervention would enable reconstruction of the destroyed facilities.
“The entire foundation has been washed away, so we will have to rebuild from scratch. We are hopeful that the Federal Government will respond to our appeal and help preserve this investment,” he added.
Clarifying reports linking the project to the nearby Azikel Refinery, Oko said the lubricant plant was strategically located to ensure easy access to natural gas and river transportation.
He explained that the facility was designed to become Nigeria’s first gas-fired lubricant blending plant, reducing dependence on diesel-powered operations.
He also noted that while production currently takes place in Lagos, the Bayelsa plant was intended to serve the Niger Delta market, with the company’s heavy-duty lubricant products enjoying strong patronage in northern Nigeria, where demand from haulage operators and agricultural businesses remains high.
Representative Oforji described the level of destruction as alarming, saying the project was too strategic to be abandoned.
He pledged to sponsor a motion in the House of Representatives urging the Federal Government to release ecological funds for immediate shoreline protection.
“This project represents jobs, revenue and industrial development. Protecting it is in the national interest, and I will ensure the matter receives urgent legislative attention,” he said.
A source at the facility confirmed that completed structures had been dismantled after floodwaters weakened the foundations, while temporary works are now being undertaken to protect the storage tanks pending a permanent shoreline protection project.
The source added that although lubricant production is ongoing at the company’s Lagos facility, the Bayelsa plant was established to improve access to petroleum products and industrial supplies within the Niger Delta.
Also speaking, Secretary of the Bayelsa State Peace Architecture and Vice Chairman of the Nigeria Union of Journalists (NUJ), Bayelsa State Council, Dr. Enibaraton Preye, described the project as a significant private-sector investment capable of transforming the state’s economy through industrialisation and job creation.
He said more than 1,000 young people would benefit directly and indirectly once the plant becomes operational.
While condemning acts of vandalism around the facility and calling on security agencies to investigate those responsible, Preye also urged the company to strengthen routine maintenance and project monitoring to prevent avoidable losses.
He advised the management to continually assess operational risks and develop alternative strategies pending the commencement of operations at the adjoining refinery.
Initiated in 2022, the Eraskon Lubricant and Chemicals Blending Plant is expected to produce about 128,000 litres of lubricants and industrial chemicals daily, including engine oils, hydraulic oils, brake fluids, coolants, gear oils and marine lubricants, when completed.
The company estimates that delays caused by the erosion have already cost it more than ₦500 billion in projected revenue.
