Nigeria Expands Native Refining With 4 Modular Refineries, New Licenses
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) yesterday gave an replace on Nigeria’s native refining capability, saying there’s an growth with the issuance of 9 Licenses to Set up (LTEs), seven Licenses to Assemble (LTCS), and 4 Licenses to Function (LTOs) for modular refineries.
Authority Chief Govt, Engr. Farouk Ahmed, said this on Monday in his keynote handle on the 18th OTL Africa Downstream Vitality Week summit held in Lagos whilst he restated the FG’s dedication to realize 3m barrels per day crude oil manufacturing and 10bn normal cubic ft per day home gasoline utilization.
The convention had as its theme, “Alliances for Development,” attracting stakeholders within the trade.
Ahmed mentioned, “Our refining sector has been increasing quickly with the issuance of 9 (9) legitimate License to Set up (LTEs), Seven (7) License to Assemble (LTCs) and 4 (4) LTOs for modular refineries.
“Dangote Petroleum Refinery and Petrochemical (DPRP) got here on stream in February 2024, with manufacturing of some petroleum merchandise together with AGO, ATK and so on. The Refinery commenced manufacturing and provide of PMS in September 2024. It’s anticipated that offer from the Refinery will enhance considerably when it’s totally accomplished and licensed.”
He said that Nigeria “is poised to realize targets of three million barrels per day in crude oil manufacturing, a projected 10 billion normal cubic ft per day in home gasoline utilization and enhanced home refining capability that positions Nigeria as a internet exporter of petroleum merchandise.”
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In line with him, the gasoline sector holds a 16 BSCF/D Licensed processing capability, 5 BSCF/D licensed transportation capability and 1.5 BSCFD licensed distribution capability.
“Every of the sub-sector is increasing quickly alongside the final transformation within the pure gasoline sector.
“The NMDPRA continues to emplace all obligatory measures to actualize the complete aspirations of the PIA. These embrace the reassurance of high quality and security within the trade, strategic stakeholder engagements, and provision of regulatory help to key authorities initiatives such because the Decade of Fuel and Pi-CNG applications.”
He famous that inside the Midstream and Downstream sector, robust collaborations are required between regulatory businesses to facilitate ease of doing enterprise, and between companies to pool assets required for delivering complicated tasks
Ahmed said that the goal of the federal authorities is “to realize a completely liberalized and matured marketplace for all petroleum merchandise and pure gasoline, the place the market fundamentals result in sturdy value discovery and engaging funding alternatives.”
“The federal authorities is deepening the liberalization of the vitality market by way of sturdy insurance policies, and provision of beneficiant incentives to encourage funding by each home and worldwide corporations,” he added.
Chairman of the Advisory Board, OTL Africa Downstream Vitality Week, Mr. Adetunji Oyebanji, said that the latest full deregulation of Nigeria’s downstream sector, together with the shift to a market-based gasoline pricing system, marks a elementary change in our market.
He said that the graduation of operation of the 650,000 barrels per day Dangote refinery “isn’t solely a testomony to Nigeria’s industrial capability however a transformative growth for all the West African area.”