Reps search for investors in green field refineries

Posted by admin House, Legislature Saturday, March 17th, 2012

The House of Representatives is organising an international oil summit next week in Uyo, Akwa Ibom State, to show case Nigeria’s potentials in the industry with a view to attracting investors in the green field refineries.

The Nigerian Refining Capacity Summit is scheduled for March 28 and 29, according to the Chairman of the House Committee on Petroleum Downstream, Dakuku Peterside (PDP, Rivers).

He described as shameful and unacceptable the volume of imported fuel into the country despite its status as the 12th largest producer of oil.

He expressed Reps’ disappointment at the non-utilisation of the licences issued almost 10 years ago by the Federal Government to private firms for the setting up of refineries in the country.

He said: “Almost after 10 years that the Federal government granted 20 licenses to private investors no single refinery has been built in Nigeria. Paradoxically, Nigeria is the only member of the Organization of Petroleum Exporting Countries (OPEC) that imports 85 percent of its domestic petroleum products needs and now we have reached a crisis level”.

Besides, Peterside maintained that innovative approach to solving the problem has become imperative, saying, “several Turn Around Maintenance (TAM) have been done on the four existing refineries without commensurate results and even if all of them function at 100 percent capacity production only 445,000 barrels of crude oil can be refined locally.

“It is shameful and embarrassing that Nigeria, the 12th largest producer of crude oil world wide and 8th largest exporter, imports 85 percent of its domestic needs”.

According to him the Uyo forum will be attended by over 500 participants from around the world and will identify issues militating against self-sufficiency in refining of petroleum products.

“The Summit would also attempt to find ways and means to create investment friendly regulatory and legislative framework, proffer solutions to identified problems and serve as feed stock to the Petroleum Industry Bill popularly known as (PIB),’ he said.

-The Nationwp_posts