The countrys four stateowned refineries are currently operating at just 5% capacity following decades of p. This paper provides a studious analysis of the current state of the refining sector and the refining revolution we predict will take place over the next 35 years. Nigeria currently has four refineries, all of which are owned by nigerian national petroleum company nnpc, however the oil industry has been seriously impacted by operational. Read all the latest news, breaking stories, top headlines, opinion, pictures and videos about nigeria refineries from nigeria and the world on today. When it operates, the refinery supplies most of northern and eastern nigerias products, in normal conditions providing a major part of the countrys gasoline and jet fuel needs. Hence, to understand the fundamentals of petroleum refining, one must begin with crude oil. This is the first indigenous government owned refinery in the country. Full list of oil refineries in nigeria and their location. The federal republic of nigeria nigeria was selected as a case study due to its long history. Bogota, colombia 12 march, 2015 background document an overview of the palm oil sector.
Despite having a nameplate capacity that should meet domestic demand, nigeria still imports over 80% of refined products to meet its current needs. The nnpcs opaque handling of the money collected from crude sales has weakened the financial health and credibility of the nnpc. Nigerian oil is highly desired by refineries in developed. Environmental impact analysis of the emission from petroleum refineries in nigeria. Oil is used to power our vehicles, to create medicines that keep us healthy, and to make the plastics, cosmetics, and other personal products that enhance our daily lives.
Unfortunately, the situation nigeria finds herself in today is no different from liberia and sierra. African companies achat service international niger aeolus kenya ltd. The debate in nigeria on modular refineries has focused on small sized plants in the capacity range of. Pdf environmental impact analysis of the emission from. Pdf challenges and prospects of converting nigeria illegal. Energy efficiency improvement in the petroleum refining industry.
Nigeria, a rapidly developing nee in africa, is a country where this is happening. The operations of refineries are controlled by the ippc directive 3. Chemex modular, llc chemex modular expertise chemex modular is the leading supplier for new modular equipment. Find list of best refineries in nigeria with their name, address, contact phone number and other information on vconnect. The suboptimum conditions of nigeria conventional refineries. In addition, since the four nigerian refineries can only physically process around. More than 660 refineries, in 116 countries, are currently in operation, producing more than 85 million barrels of refined products per day.
The challenges of building a new refinery in nigeria with limited. Warri refinery is the second refinery on this list of oil refineries in nigeria. The debate in nigeria on modular refineries has focused on small sized plants in the capacity range of 1,000 to 10,000bpsd. Oil was discovered in nigeria in 1956 at oloibiri in the niger delta after half a century of exploration. Oil was struck in the late 50s in the nigerdelta area of nigeria by british, german and dutch engineers, this brought about the building of oil refineries. Commissioned in the year 1978, it was built to process 100,000 barrels of crude oil per day as its output but was later debottle necked to process 125,000 barrels per day. Excerpts and links may be used, provided that full credit is given to oldnaija which must include appropriate and specific backlink to the original content on our website. Challenges and prospects of converting nigeria illegal. In the early 1990s, it was the only supplier of products to the nigerian market, with the other plants all affected by fires, strikes and riots.
A case for reform in nigeria executive summary nigeria s national oil company, the nigerian national petroleum corporation nnpc, sells around one million barrels of oil a day, or almost half of the countrys total production. Energy efficiency improvement in the petroleum refining. In nigeria, setting up modular refineries will help to. W 1 1 3 a a a a a a a a a a a a a a s s y r a a a a a t. Unauthorized use or duplication of our contents without express and written permission from us is strictly prohibited. A citizens guide to energy subsidies in nigeria produced by center for public policy alternatives cppa and the international institute for sustainable developments global subsidies initiative. Voluntary government programs aim to assist industry to improve energy. Jul 26, 2014 petroleum resources constitute a major proportion of nigerias foreign exchange earnings. A man paddles a canoe through a swamp after an oil pipeline explosion caused by people who tried to steal fuel at arepo village, just outside nigerias commercial capital lagos, on.
There is a reference document on best available technology for refineries 4 which has been produced by the european institute. We match clients project needs with new or existing modular equipment. The riverine area of ondo state is one of the locations that are seriously affected by oil spill in nigeria s fifty years of oil exploration. Below is a full list of refineries in nigeria today 1. The dca was designed to feed nigerias refineries, but in practice nnpc exports. There use to be two port harcourt refineries which were built in 1965 and 1989. Nigeria still imports at least 91% of the petrol2 it consumes and a sizeable volume of other petroleum products to meet its local demands. This study was designed to investigate the physico. The only operational, legal and commercial modular refinery in nigeria today is the niger delta petroleum resources ndpr, at. Nigeria joined the ranks of oil producers in 1958 when its first oil field came on stream producing 5,100. The minister was speaking during an interactive session with the members of the national assembly in abuja. Chemex modular maintains a complete range of engineering expertise to provide fully modularized equipment and technical customerspecific solutions.
Concerning capacity utilisation, as observed earlier 5. At a time when nigeria should fall back on domestic refining occasioned by the recent supply shortages in the. Nigeria has four 4 crude oil refineries located in port harcourt, warri and kaduna, with a total. Nigeria once had four 4 oil refineries, but currently has three 3 refineries. Nigeria 2 refining industry before 1970 nigerias oil industry began with the discovery of crude oil reserves by the shell group in 1956. Challenges and prospects of converting nigeria illegal refineries to. Nigerias position is that the countries where such stolen crude ends up encourage the crime, as there would be no market for the oil thieves if some countries refineries would patronize only genuine crude. Aug 06, 2007 when it operates, the refinery supplies most of northern and eastern nigeria s products, in normal conditions providing a major part of the countrys gasoline and jet fuel needs.
History, process and products nearly every aspect of our modern lifestyle is impacted by oil. The nameplate capacity of 445,000 bpd is housed by 4 refineries strategically located in various states around the country. African company attendees confirmed as of july 30, 2014 hosts the honorable penny pritzker, secretary of commerce the honorable michael r. This paper will highlight the challenges faced by licensees building refineries in. In the early 1990s, it was the only supplier of products to the nigerian market, with the other plants all. Nigeria refineries news latest breaking stories and top. However, none of these products would exist without the. Many refined products, such as gasoline, are produced in multiple grades, to meet different specifications and standards e. Petroleum resources constitute a major proportion of nigerias foreign exchange earnings. A case for reform in nigeria executive summary nigerias national oil company, the nigerian national petroleum corporation nnpc, sells around one million barrels of oil a day, or almost half of the countrys total production. Refineries in vietnam working paper 20163 international council on clean transportation 3 the project is financed through the japanese mizuho corporate bank ltd dung quat economic zone authority, 2010.
Will exploration success in africa lead to new refineries. Exploration for crude oil commenced in nigeria in 1937 when. The salts are dissolved in the wash water and the oil and water phases separated in a settling vessel either by adding chemicals to assist in breaking the emulsion or by developing a high. The minister of petroleum resources, diezani alisonmadueke, on friday explained why nigerias four refineries in port harcourt, warri and kaduna have still not undergone repairs more than four. It is however the principal nigerian government fully owned refinery was completed and commissioned in 1978.
Jan 15, 20 a man paddles a canoe through a swamp after an oil pipeline explosion caused by people who tried to steal fuel at arepo village, just outside nigeria s commercial capital lagos, on january, 20. The troubled state of nigeria s four existing stateowned refineries reflects the management practices of the nnpc, including the following factors. More oil refineries in nigeria to be constructed as part of the government efforts to ensure that the country refines substantial volume of its fuel demands, dr. While some refineries in the united states of america were built in the 1920s and still fully functional, nigerias oldest refinery was built in 1965, and is producing at less than installed. But with excess demand for gasoline and distillates in nigeria options for sustainable suppliesalso lie in refineries. Nigeria and colombia having a combined 8 percent of production. Voices for full privatization of the downstream sector have risen on the grounds that ordinary citizens are not the main beneficiaries of the nigerian national petroleum corporation nnpcs unreliable refineries. There is a reference document on best available technology for refineries 4 which has been produced by the european institute for pollution prevention and control eippcb at sevilla. Modular refineries and nigerias economy the guardian. Nigeria consumes over 17 billion litres of pms annually. Energy efficiency improvement in the petroleum refining industry ernst worrell, ecofys christina galitsky, lawrence berkeley national laboratory abstract information has proven to be an important barrier in industrial energy efficiency improvement. The process for establishing a petroleum refinery in nigeria is regulated by the. It is growing rapidly as a country both economically and. The economic impact assessment is developed on the basis of average annual investments from 2014 through 2025.
Nigerias four stateowned refineries, installed to refine 440,0000 barrels of crude oil daily, worked at only 8. Warri refinery and petrochemical, eleme petrochemical, the nigerian gas company, ppmc, integrated data. Pages in category oil refineries in nigeria the following 2 pages are in this category, out of 2 total. It was worked to process 100,000 barrels of crude oil per day yet was later debottlenecked to process 125,000 barrels per day in 1987. Case documents illustrate how aspiring contractors. Improve the efficiency of your sales cycle with our crm software register now. Nigeria case study a rapidly developing nee newly emerging.
Although nigeria presently has four conventional refineries kaduna, warri, old portharcourt and the new portharcourt chiefly controlled by the federal government under the nigerian national petroleum corporation nnpc, none operate above 60 percent of its design capacity. In 1993 they were merged into one, with a total capacity of 10. Pdf the suboptimum conditions of nigeria conventional refineries remains a. The location and importance of nigeria nigeria is a former colony of the uk that is in subsaharan west africa, bordering benin, niger, chad and cameroon. Challenges and opportunities daibi w dagogo, department of banking and finance, rivers state university of science and technology, nigeria. Opportunities and challenges for refiners in africa industry commentary africa is a net importer of refined products and its import requirements are expected to grow further in the near future. The case for modular minirefineries despite the generally poor returns from petroleum refinery investment, modular minirefineries, from simple diesel production units to more sophisticated cracking refineries are increasingly becoming a flexible and costeffective supply option for crude producers in remote regions. According to him, even with operation at full capacity, the kaduna, warri, old port harcourt, new port harcourt and the dangote refineries would not be able to cater for local consumption without.
Refineries exist to convert crude oil into finished petroleum products. It is one of the worlds top oil producers, but it doesnt have sufficient gasoline to fuel its struggling economy. Nghi son refinery refinery project overview the nghi sn refinery is currently under construction in o. In addition there have been recent successes in oil exploration in countries such as uganda. The case for modular mini refineries despite the generally poor returns from petroleum refinery investment, modular mini refineries, from simple diesel production units to more sophisticated cracking refineries are increasingly becoming a flexible and costeffective supply option for crude producers in remote regions. The discovery was made by shellbp, at the time the sole concessionaire. Nigeria joined the ranks of oil producers in 1958 when its first oil field came on stream producing 5,100 bpd. Why is nigerias biggest import refined petrol while its most. Ibe kachikwu, the state minister for petroleum resources has announced. This covers all emissions of pollutants including wastes.
38 1190 1245 1053 920 907 568 1233 274 469 471 530 1056 1131 684 1283 1606 300 156 933 2 263 1064 63 1525 162 491 745 1317 735 1134 256 1574 310 160 510 318 779 164 206 772 660 545 969 1321 1299