In a statement released by Edobor Iyamu, Senior Special Assistant, Niger Delta Affairs, Office of the Vice President, three (one brownfield and two greenfields) out of six anticipated modular refineries are now ready for commissioning.
In 2017, the Federal Government of Nigeria set up policies and created an intervention fund through the New Vision Program for the Niger Delta, to support and promote the establishment of modular refineries. It was a way of boosting the local refining of crude oil, as all the refineries were private-sector led, with the Nigerian Government providing support.
The Modular refinery initiative was flagged off in 2016/17 under the auspices of past Minister of State for Petroleum, Dr. Ibe Kachikwu, to support the private sector and develop the Niger Delta region. Now, the initiative is showing positive results, with the establishment of modular refineries in states across the region.
The refineries ready for commissioning are:
- Niger Delta Petroleum Resources Modular Refinery, Rivers State;
- Opac Modular Refinery, Delta State; and
- Waltersmith Refinery, Imo State
The Niger Delta Petroleum Resources Modular Refinery in Rivers state was the only functioning modular refinery in the country before 2016. From an initial 1,000 barrels per day facility, it has been expanded to a 5,000 barrels per day facility, which was reportedly completed since January.
The other modular refineries that are yet to be completed are:
- Ikwe-Onna Refinery, Akwa Ibom State;
- Azikel Refinery, Bayelsa State; and
- AIPCC Refinery, Edo State
The initiative is already a source of inspiration, as earlier this year, the Nigerian Content Development and Monitoring Board (NCDMB), in partnership with Waltersmith Petroleum Oil Limited, announced that it aimed to assist Equatorial Guinea in the development of in-country modular refineries. In January, the Executive Secretary of the NCDMB, Engr. Simbi Wabote, and Chairperson of Waltersmith, Abdulrazaq Isah, led the Minister of Mines and Hydrocarbons Equatorial Guinea, His Excellency Gabriel Obiang Lima on a tour of the Waltersmith 5,000 bpd modular refinery at Ibigwe, Imo State (one of the refineries ready for commissioning).
This is a laudable initiative and landmark by the Nigerian government. The private-public sector collaboration will yield lots of positive results, and the residents of communities in the oil-producing region will benefit massively from this too.