(Quick News Africa)- Following the Federal Government’s plan to attract investment into the country towards the development of modular refineries and boost local refining capacity, an Indonesian has indicated interest in building a refinery in Nigeria.
The company, known as PT Intim Perkasa Nigeria Limited, is a subsidiary of PT Intim Perkasa of Indonesia, according to a statement from NNPC signed by Ndu Ughamadu, its group general manager, group public affairs division.
Adi Hartadi, head of investor relations of PTPP (Persero) Tbk, partners of PT Intim Perkasa Nigeria Limited, during a business meeting in Abuja with Maikanti Baru, group managing director of the Nigerian National Petroleum Corporation (NNPC), said the proposed refinery would be located in Akwa Ibom State.
The refinery, he said would be a modular one, with a refining capacity for 10,000 barrels per day.
Hartadi stated that their company has more than 50 years of experience in construction and engineering, and that it was desirous of diversifying into downstream operations in Nigeria.
In his remarks, Baru, who was represented by the chief operating officer (COO), refineries and petrochemicals, Anigbor Kragha, stated that NNPC placed high premium on investment in the nation’s refining sector.
The GMD stated that the corporation had a green field refinery department that specializes in new refinery projects and also provides professional support to potential investors into modular refining in the country.
He lamented that the country’s three refineries with a combined capacity of 445,000bpd could not function optimally over the years due to lack of investment.
As a result of that, he said, NNPC will give necessary support to the Indonesian company’s interest in operating in the downstream sector of the Nigerian petroleum industry.
“On our end, we have embarked on ambitious plan to fast-track programmes to restore our capacity utilization from 30 per cent to a minimum of 90 per cent in the next 24 months. To do that, we are working on securing financing from third parties, not just funding, but also technical expertise to help us increase our performance to world class levels that they should be,” Baru stated.
He explained that given Nigeria’s expected population, by 2025, more than 40 million litres of petrol would be required daily for local consumption, adding that the combined capacity of the nation’s 3 refineries would only be able to satisfy just above 50 per cent of the projected local demand.
Responding, Dwiyatna Widinugraha, third secretary for economic affairs, Indonesian embassy in Nigeria, and leader of the Indonesian delegation, stated that the visit was a follow-up to the earlier visit by the Indonesian envoy to NNPC, the bilateral meeting between the Indonesian trade minister and his Nigerian counterpart, as well as the visit of Indonesian prime minister to Nigeria.
It would be recalled that the Indonesian ambassador to Nigeria, Harry Purwanto, had recently expressed interest in purchasing more crude oil from Nigeria during a courtesy call on the NNPC GMD.
