After Dangote, Another Firm Moves to Build Modular Refinery in Lagos, Gets $5bn Ready to Start Work
- An oil marketing company, MIDOil Refining and Petrochemical Company Limited, has announced the building of a modular refinery in Lagos.ng
- The company said it would site the 100,000bpd refinery at Sekungba/Ejinrin, Ikosi/Ejirin Local Council Development Area of Lagos State
- The company added that it had secured about $5 billion from investors to commence the project in the state
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
If all goes according to plan, the Dangote refinery will be one of many refineries sited in Lagos, as another oil firm has said it has secured the necessary funding to commence a 100,000 barrels per day modular refinery in the state.
MIDOil Refining and Petrochemical Company Limited has perfected plans to begin the construction of a modular refinery at Sekungba/Ejinrin, Ikosi/Ejirin Local Council Development Area of Lagos State.
Source: Getty Images
The company acquires the necessary license
The company’s executive chairman, Elizabeth Omolara Akinntonde, recently stated this while unveiling a three-in-one investment opportunity.
The desire to establish a refinery was conceived about 10 years ago by an official of the then National Petroleum Corporation, Hajiya Amina Abdullahi.
According to her, the refining company was registered on April 12, 2012.
Punch reports that the MIDOil boss explained that the firm has acquired a large expanse of land from the government of former governor Babatunde Fashola, saying that the land allocation letter was received from the Lagos State government on April 24, 2014.
MIDOil secures $5 billion investment
Per the MIDOil Chairman, it took the company about 10 years to secure investors willing to invest in Nigeria and the project.
She said the company has now secured three consortiums of investors willing to invest about $5 billion with the firm.
She said the company will do the groundbreaking for the building of the refinery on July 12, 2024, to signal the commencement of the project.
She also said that the event would include the establishment of MIDOil Filling Stations nationwide.
She presented cheques to the host communities and asked the Lagos State government and community leaders to check the activities of land grabbers in the state.
The 100,000 barrels per day refinery will be the second after the Dangote Refinery in Lagos.
NNPC discloses date for PH refinery to commence
The development comes as the Nigeria National Petroleum Company Limited (NNPCL) has said that the Port Harcourt refinery would commence production at the end of March.
The group chief executive officer of the Nigerian National Petroleum Company Limited (NNPCL), Mele Kyari, said the Port Harcourt Refinery would begin operations in two weeks.
During an interactive session with the Senate, Kyari disclosed this on Thursday, March 14, 2024.
The refinery announced that it has received about 450,000 barrels of crude oil from Shell to commence operations.
Warri refinery to commence operations in December
The report says she disclosed that Kyari assured Nigerians that the delivery date for the refinery and other refineries remains unchanged.
According to the NNPCL boss, the Warri refinery has also undergone mechanical rehabilitation and is currently undergoing regulatory compliance with the regulators.
Dangote refinery ships first cargo
Meanwhile, the world's single train refinery, the Dangote Refinery, has made an essential move by issuing tenders to sell its first two fuel cargoes for export.
The development is an essential step for the newly launched refinery, which has generated a buzz in the industry.
A Reuters report quotes three sources saying that the first cargo of 65,000 metric tons of sulphur straight-run fuel oil, which Dangote has awarded to Trafigura, is due to load at the end of February.
Petroleum Institute finally completes its modular refinery
Legit.ng earlier reported that the Petroleum Training Institute (PTI), under the Federal Ministry of Petroleum Resources, announced the completion of its modular refinery with plans to increase its capacity for use in the commercial sector.
According report, PTI, based in Effurun, Delta state, also teaches artisanal refiners how to process crude oil.
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Source: Legit.ng
