Nigeria revokes 32 invalid oil refinery project licences in 3 years

*The Department of Petroleum Resources says the biggest refinery project by Dangote Oil Refinery Company, in Lagos, is over 80.3 percent completed

Isola Moses | ConsumerConnect

The Department of Petroleum Resources (DPR), a subsidiary of the Nigerian National Petroleum Corporation, has said that it revoked 32 refinery project licences issued to private investors but have become invalid in the country in the past three years.

The regulatory agency, which disclosed this Monday, April 12 said that the number of valid refinery project licences stood at 23 as of March 2021, down from the previous 44 in April 2018, EnergyMixReport stated.

Analysis of the DPR fresh list of valid refinery project licences, and that of April 2018 indicated that 32 licences had become invalid, while 11 new licences were granted between May 2018 and March 2021.

The refinery projects whose licences were declared invalid by the agency include BUA Refinery & Petrochemicals (Akwa Ibom); Dee Jones (Cross River); Energia Limited (Delta State); Southfield Petrochemical & Refinery Ltd (Edo); Starex Petroleum Refinery (Onne Oil & Gas Free Trade Zone); RG Shinjin Petrochemicals (Delta); Don Mac (Edo), and Platinum Hydrocarbon Resources (Delta).

Others are Mondonat Nigeria Ltd (Delta); Ikwe-Onna Refinery (Akwa Ibom); Shepha Petroleum & Petrochemicals Company (Delta); JIL-Amber (Port Harcourt Refinery); Gazingstock Petroleum Company (Delta); Petrolex Oil & Gas Limited (Ogun); Eghudu Refinery (Edo); Ibafon Refinery FZE (Calabar FTZ, Cross River); and Kainji Resources (Imo).

Among them are Eko Petrochem & Refining Company (Lagos); Hi Rev Oil (Akwa Ibom); Epic Refinery & Petrochemical Industries (Bayelsa); Masters Energy Oil & Gas (Rivers); Cross Country Oil & Gas (Imo); Grifon Energy (Ondo); Sifax Oil & Gas Company (Lagos); and Capital Oil & Gas Industries (Lagos);

Others are All Grace Energy (Rivers); Green Energy International (Rivers); Fresh Energy Limited (Bayelsa); Chyzob Oil & Gas (Abia); Aiteo Energy Resources Limited (Delta); Associated Worldwide Company (Akwa Ibom); and Amakpe International Refinery (Akwa Ibom).

According to the agency, as of April 2018, there were 38 proposed modular refineries with capacity ranging from 5,000 barrels per stream day to 30,000bpsd, and six conventional plants with a total capacity of 1.35 million bpsd.

The DPR noted that 20 of the licences were active, saying 24 of the licence holders were still sourcing funds, although most of the licences had expired as of April 2018.

The agency’s updated list showed that the construction of four modular refineries, with a total capacity of 23,000bpsd had been completed, report stated.

The refineries are Waltersmith Refining & Petrochemical Company Limited in Imo State, OPAC Refineries in Delta, Niger Delta Petroleum Resources (Train 3) in Rivers, and Edo Refinery and Petrochemical Company Limited in Edo.

Meanwhile, the DPR noted that biggest refinery project, which is being built by Dangote Oil Refinery Company in Lagos, is more than 80.3 percent completed.