Idowu Naomi | October 9th,2024
Nigeria is about to witness a significant boost in its oil refining capacity, thanks to a consortium of investors from South Korea.
The Federal Government has announced that these investors plan to build four refineries, each with a 100,000-barrel-per-day capacity, in various locations across the country .
This development was revealed by the Minister of State for Petroleum Resources, Heineken Lokpobiri, during a summit organized by the Crude Oil Refineries Owners Association of Nigeria in Lagos.
According to Lokpobiri, the Federal Government is committed to creating an open and conducive environment to attract refinery investments. This includes adopting public-private partnerships to drive development in the midstream and downstream sectors of the oil and gas industry.
The government is also open to equity investment in modular refineries and other upcoming refineries to ensure energy security.
To facilitate this growth, the Nigerian Upstream Petroleum Regulatory Commission has published guidelines to enhance transparency and provide local refineries with access to crude oil supplies .
Additionally, the government plans to deregulate the downstream sector fully and put in place measures to ease the impact on low-income households.
Some of Nigeria’s existing refineries include:
– *Kaduna Refinery*: with a capacity of 110,000 barrels per day ²
– *Port-Harcourt Refinery*: with a capacity of 210,000 barrels per day ²
– *Warri Refinery*: with a capacity of 125,000 barrels per day ²
– *Dangote Refinery*: with a capacity of 650,000 barrels per day ²
This new investment from South Korea is expected to further increase Nigeria’s refining capacity, making it a major player in the African petroleum refining hub.
