Lagos, Nigeria November 7 – ASPM Limited, a subsidiary of OVH Energy Limited, achieved a ground-breaking milestone as it launched its Lagos Midstream Jetty (LMJ) located at the Lagos Apapa Harbour. The Lagos Midstream Jetty is West Africa’s first privately owned mid-stream jetty, conceived by Oando PLC to increase the delivery capacity and offloading efficiency of petroleum products into marketers’ storage facilities in Apapa Lagos.
The Lagos Midstream Jetty is expected to alleviate the perennial infrastructural hiccups experienced in Apapa, eliminating the lightering and demurrage charges currently being incurred by petroleum marketers by NGN8.3 billion ($23m) and NGN9.8 billion ($27m) respectively. Additionally, the Jetty will reduce discharge time from 21 to 3 days, increasing product availability.
With a draft of 13.5m, Length Overall (LOA) of 210m and a capacity to receive 45,000 DWT vessels (deadweight tonne), the Lagos Midstream Jetty will discharge at up to 800 m3 (cubic meters) of petroleum products per hour. The Jetty will operate 24 hours a day to supply products into storage facilities situated within the Apapa axis, via a 3km submarine pipeline network linked directly with up to 200,000MT storage belonging to major and independent marketers in Nigeria. LMJ which is configured to receive all white products namely petrol, diesel and kerosene, consists of a simple horizontal platform, five (5) berthing dolphins, and four (4) mooring points.
In comparison to available jetties, the Lagos Midstream Jetty has the capacity to receive larger vessels of up to 45,000 DWT in one lot thus reducing the current necessity of bringing in smaller volumes of petroleum products in several batches. This will result in significant cost savings on lightering and generate economies of scale advantages for marketers.
Commenting at the launch event Chairman OVH Energy, Mr Wale Tinubu said:
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“The Lagos Midstream Jetty was conceived as an innovative industry solution to the perennial challenges marketers faced in the importation of petroleum products. Over the past 30 years, marketers have spent approximately NGN1.6 Trillion ($4.5 billion) on lightering, with 90% of this spend flowing out of the country. Today we have delivered a first class piece of engineering that meets global standards, is the first of its kind in sub-Saharan Africa and will be of invaluable benefit to the industry and nation at large. ”