Nigerian Content Development and Monitoring Board (NCDMB) has revealed that by 2024, three more Modular refineries will start operation in the country, as one has already started production.
Speaking in Yenagoa during the opening of this year’s edition of practical Nigerian Content Forum with the theme, Deepening Nigerian Content Amidst Divestment, Domestication and Decarbonization, the Executive Secretary of the board, Simbi Wabote added that the board had already partnered with a local refinery known as Waltersmith to establish a 5,000bpd modular refinery in Ibigwe, Imo State.
He also disclosed that this year alone, the refinery has produced and sold over 170 million litres or about 3,000 trucks of petroleum products which he said would have been imported using scarce forex.
The three other modular refineries which he said are nearing completion are Azikel Refinery with support from AFREXIM Bank, Duport Refiney in Edo State and the Jetty and FAT for the Inside Battery Limit (ISBL) of the Atlantic Refinery modular refinery.
Wabote said that in the area of gas utilization, one of the partnerships has enabled the utilization of part of the OB-3 pipeline with the commissioning of NEDO Gas plant currently injecting lean gas into the gas pipeline infrastructure adding that the partnership has also opened export outlets for other gas operators within the Kwale axis thus eliminating the need for gas flaring.
He said, “While Duport Refinery in Edo State is essentially complete, we are looking at the various options and offers before us to bring closure to the partnership in line with our Investment Policy. The Jetty and the FAT for the Inside Battery Limit (ISBL) of the Atlantic Refinery modular refinery have been completed. We are now focused on taking delivery of the ISBL while exploring all the options open to address the funding challenges hindering the completion of the project.
“In the area of gas utilization, one of our partnerships has enabled the utilization of part of the OB-3 pipeline with the commissioning of NEDO Gas plant currently injecting lean gas into the gas pipeline infrastructure. The partnership has also opened export outlets for other gas operators within the Kwale axis thus eliminating the need for gas flaring.
“Other active sites under our partnerships with local businesses include Butane Energy for LPG storage and distribution in 10 northern states, Bunorr for the production of base oil, Eraskon for lube oil blending plant, and Triansel for construction LPG Terminal and 5,000MT storage tank.
“We have commenced discussions on key steps required to cure the issues around the partnerships. Under the roadmap initiatives, we challenged ourselves to move from the 27th position in 2019 on the ease of doing business ranking from MDAs to the 1st position last year and still maintained this position this year.
“The portfolio of Nigerian Content Intervention Funds being managed by BOI and NEXIM Bank has grown to $500 million with various product offerings for assets acquisition, project finance, manufacturing, and others.
“On the construction of additional NOGAPS industrial parks, we currently have eight in our portfolio including the two planned to commence operations next year. The other six are in Akwa Ibom, Imo, Ondo, Delta, Edo, and Abia states which are at various stages on engineering design and site preparation works.
Also speaking through zoom, the chief executive officer of Nigerian National Petroleum Corporation Limited (NNPCL) Mele Kyari commended NCDMB for yearly organizing the event stating that there is no other way to build local capacity than what NCDMB is doing currently.
He said, “We need to build our local capacity by organizing seminars, workshops and to encourage the local industry build local capacities.
Also the minister of state for petroleum, Heineken Lokpobiri represented by Gabriel Aduda the permanent secretary of the ministry who also spoke through zoom thanked NCBMB for organizing the event but regretted that Africa has been muddled up in the politics of climate change.
The Governor of Bayelsans State Douye Diri represented by the secretary to the state government Gideon Ekeowie thanked Simbi Wabote for building a fora where those in the oil and gas industry gather to discuss the way forward.
“Thank you for bringing stakeholders to come and discuss and implement local contents in Nigeria to provide an avenue for knowledge sharing collaboration and partnership between key players.
