The federal government has restated its commitment to assist the management of Eko Petrochemical and Refining Company, a subsidiary of Integrated Oil and Gas Limited, to ensure successful execution of the company’s 20,000 barrels per day modular refinery.
It described the project as critical in the nation’s push for energy self-sufficiency. The refinery sited at the Tomaro Island Port, in Amuwo-Odofin Local Government Area of Lagos State, is estimated to cost over $200 million and has already gulped $20 million so far, according to the company.
The project is currently at the financing stage and the company is currently in talk with potential world-class Engineering, Procurement and Construction (EPC) companies for them to tender for the contract.
A delegation from the Ministry of Petroleum Resources that were at the refinery complex on an inspection visit recently, led by the Director, Upstream, Ministry of Petroleum, Mr. Kamoru Busari, said the government was determined to lending its support for the project to come to life.
Busari commended the Chairman of Integrated Oil and Gas, Capt. Emmanuel Iheanacho (rtd) for leading the company to embark on such high value investment.
Busari said: “I want to commend him for this meticulous planning. That’s one. The organisation you have on ground shows that you will succeed because you have the best professionals from which you get advice and you have a good think-tank.
“And with all these, will appreciate what you are doing here; and like I’ve always said, anybody doing business in a legal way should be appreciated by government. May be because I’m an engineer, but when I see somebody trying to do this kind of thing in this country as at this time, I think the best way to encourage him is to appreciate his effort.”
According to him, projects like that of Eko Refinery will take Nigeria out of the wood.
“And we know it and we have come because government said they want to ensure we increase refining capacity between 2019 and 2023, and that we should go out and see those that we know that are very serious and come and recommend to them the issues they are having so that we see how it can be solved.
“So, that’s why we are here and by the grace of God, we are going to write our report and we hope by the time the report gets to government, they will do something about your challenge,” he said.
Busari pointed out that the major issues confronting those that were given licences to build refineries were financial support and how to get crude supply for the facility to work.
Informed by the company that the Nigerian National Petroleum Corporation (NNPC) had given it a letter of feedstock guarantee, subject to its compliance to the requirements of the Department of Petroleum Resources (DPR), the director noted that the seriousness of the company with the project must have made the national oil company to agree to give it such guarantee.
Speaking to journalists at the occasion, Iheanacho, said the visit by the ministry’s delegation was timely and important as they needed to come and see how the company they were supporting was fairing.