In a bid to resuscitate Nigeria’s moribund refineries, the Minister of State for Petroleum Resources, Timipre Sylva has announced that the Warri and Kaduna refineries would be repaired in the first half of next year.
He made this statement at the 13th Oil Trading and Logistics Africa Downstream Week where he mentioned that the Port Harcourt refinery was already undergoing repairs.
Sylva said: “Refurbishment of the existing refineries to achieve full capacity operations shall be fast-tracked: (Port Harcourt ongoing, others to follow by Q1 and Q2 2020).”
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The Details: Sylva hinted that the refineries would not only be repaired but their capacities would also be increased to support the rapid infrastructural development in the sector.
“In order to have a robust, investor-friendly and stable downstream petroleum sector, the government is currently finalising clearer and more transparent regulatory framework with well-delineated activities to support the rapid infrastructural development in the sector including new refining capacities emerging in the country.”
The Minister assured the public of the intention of the Federal Government to fast-track the passage of the Petroleum Industry Bill (PIGB) which would in turn bring about a regulated tariff, open access to pipeline and terminals, a focused regulatory agency, introduction of transportation network code as well as many other benefits to the oil and gas sector.
In addition, the Minister noted that the Ministry was envisaging a public-private partnership in the downstream sector which would assist the nation in managing its pipeline infrastructure and depots. Sylva promised to set up the necessary framework that would encourage this partnership while aggressively pursuing the commercialisation of gas flaring.
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In a recent Nairametrics article, the Federal Government set a 3-year target period to revamp the ailing refineries across the country.
Starting with the refinery in Port Harcourt, the President Muhammadu Buhari-led administration disclosed that it had begun the overhauling of refinery facilities, adding that it has till 2023 to ensure that the refineries operate optimally.
