by Tunji Andrews

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has announced on Monday, in furtherance of its commitment to provide leadership in establishing private refineries, by acquiring more than 1,000 hectares for its proposed $3 billion (N495 billion) refineries.

The IPMAN National President, Chinedu Okoronkwo, who spoke of the Kogi and Bayelsa state acquisitions, said the refineries would be completed in 24 months, which is expected to have an initial production capacity of about 200,000 barrels of petrol per day.

IPMAN had in July concluded a business deal with some international investors to build two refineries worth about 3 billion at Itobe, Kogi, and Abbe in Bayelsa, reports the News Agency of Nigeria, the foreign investors conducted feasibility studies on the project in August.

Okoronkwo said IPMAN’s aim was to contribute in the management of existing national capital flight that characterised the oil and gas sector following the absence of a functional refinery.

Mr. Okoronkwo said the Federal Government had through the Minister of Petroleum Resources, Diezani Alison-Madueke, welcomed the investor’s initiative to commence work on the two refineries. He urged the Ministry of Power to support the IPMAN refinery initiative by providing the sites access to the national grid.

He said when completed in 24 months, the refineries would initially produce about 200,000 barrels of petrol per day. Mr. Okoronkwo said that IPMAN’s aim is to contribute in the management
of existing national capital flight that characterised the oil and gas sector following the absence of a functional refinery.

“The cost of taking crude and bringing it back as refined products will be reduced. We want government to give us the necessary licences and enabling environment to operate,” he said.

Kolapo Olapoju