fbpx
[ MAIN ]COVEROIL & GAS

Pipeline Vandalism: Energia, 4 Others to Build Refinery Plant in Nigeria

In response to the high rate of illegal bunkering, pipeline vandalism in Nigeria, Indigenous oil firm, Energia Limited,  has said it is partnering with four other local oil companies to build a crude oil refinery plant in the country.

The four other companies are Midwestern Oil and Gas, Pillar Oil, Chorus Energy and Flatform Petroleum Limited and the refinery will have an initial capacity of between 10,000 and 15,000 barrels of crude oil per day.

Speaking at a forum in Lagos, Mr. Felix Valentine, Managing Director, Energia, said the firms are already in discussions with a consultant on the feasibility and viability of the project.

Valentine stated that the decision to set up a refinery in the country is to prepare the country for an eventual reduction in crude export brought about by major discoveries around the world and stoppage of United States’ crude import from Nigeria.

According to Felix, the five firms lost about $72 million (N11.448 billion) in 2012 alone to illegal bunkering, crude theft and pipeline vandalism.

“The refinery will help us prepare for an eventual reduction in the demand for Nigeria’s crude and bring about a reduction in crude theft.”

SOURCE

About Author

BWN
This is BizWatchNigeria. Nigeria's first online business Newspaper.

Comment here

This site uses Akismet to reduce spam. Learn how your comment data is processed.