Heineken Lokpobiri, Nigeria’s Junior oil Minister has hinted of a South Korean consortium establishing four refineries in Nigeria.
Lokpobiri announced in Lagos, October 8, at the inaugural summit of Refineries Owners Association of Nigeria in Lagos, that each of the refineries will have 100,000 barrels/day capacity.
The government is actively encouraging investments in the petroleum sector by creating a favorable environment for private partnerships.
Recently, an invitation was extended to the consortium, which aims to construct the refineries in different locations across the country.
Lokpobiri emphasized the government’s commitment to energy security and the need for more modular and mega refineries to boost the industry.
The approach involves a public-private partnership model to facilitate investment in the oil and gas sector’s midstream and downstream segments.
To support local refineries, the Nigerian Upstream Petroleum Regulatory Commission has established guidelines to ensure a transparent supply of crude oil.
The government is also focusing on providing special concessions to local refinery owners, thereby enhancing their access to feedstock.
Furthermore, Lokpobiri discussed the government’s plans to deregulate the downstream sector fully and ease tax burdens on imported refinery equipment.
This initiative aims to position Nigeria as Africa’s leading petroleum refining hub and achieve self-sufficiency in petroleum production.
In response to the challenges of crude oil theft and illegal refining, an international emergency committee has been formed to develop sustainable solutions for domestic refining operations.
The ministry is also exploring partnerships with international bodies to enhance knowledge transfer and technological advancements in the refining sector.
