Vice President Yemi Osinbajo has confirmed that 10 modular refineries
were at advanced stages of development in the Niger Delta.
According to his Special Assistant on Media and Publicity, Mr Laolu
Akande, as reported by vanguardngr, the 10 modular refineries were located in five out of the nine states
in the Niger Delta region.
They are located in Akwa Ibom, Cross River, Delta,
Edo and Imo states.
Osinbajo said that two of the refineries, Amakpe Refinery (Akwa Ibom),
and OPAC Refinery (Delta State), have their mini-refineries modules already
fabricated, assembled and containerized overseas, ready for shipment to Nigeria
for installation. The total proposed refining capacities of the 10 licensed
refineries stands at 300,000 barrels.
“Advanced stage of development for the modular refineries means that the
projects have passed the Licence to Establish (LTE) stage, while some have the
Authority to Construct (ATC) licence or close to having it because they have
met some critical requirements in the Licensed stage.
“There are three stages
in the process of refinery establishment; Licence to Establish (LTE), Authority
to Construct (ATC) and Licence to Operate (LTO).’’
The Vice President believes
the modular refinery initiative which featured prominently in recent talks
between the Federal Government and the oil-producing areas, as represented by
PANDEF, will also reposition the petroleum industry.
They would ensure
self-sufficiency of petroleum products while serving as a disincentive for
illegal refineries and oil pollution.
According to him, the Buhari’s
administration is committed to promoting the establishment of privately
financed modular refineries so as to increase local refining capacity, create
jobs, ensure peace and stability in the Niger Delta.
He explained that
end-of-the-year review meeting of the Niger Delta Inter-Ministerial Committee
was hold at the Presidential Villa, Abuja.
Osinbajo noted that the Federal
Government, in line with its Niger Delta New Vision, was targeting measurable
objectives in its efforts towards implementing development projects in the
region.
He added that the December 22 meeting received a report that 38
licensed privately financed greenfield and mini-modular refineries investors
have so far indicated interests in the establishment of refineries in the
region.
At least ten of the licensed refineries investors are at an advanced
stage of development.
He noted that the issue of funding was a major challenge
to most of the investors, and the primary reason holding further progress of
the refinery projects.
The Vice President directed the Federal Ministry of
Petroleum Resources to keep providing the necessary support and creating the
enabling environment for positive investments in modular refineries by engaging
key government agencies.
The agencies include the Niger Delta Development
Commission, NDDC, Nigerian Content Development & Monitoring Board, NCDMB,
and financial institutions, including the International Finance Corporation,
African Export-Import Bank (Afreximbank), Nigerian Sovereign Investment
Authority, Bank of Industry, amongst others.
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