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Home » NUPENG Advises FG on Proposed Greenfield Refinery Construction

NUPENG Advises FG on Proposed Greenfield Refinery Construction

by Joshua
July 12, 2010
in Uncategorized

Even as talks are still on-going for the construction of an $8 billion oil refinery in three strategic states of the country, the National Union of Petroleum and Natural Gas Workers (NUPENG) has advised the Federal Government that in constructing these refineries, special attention must be given to the Nigerian content.

The multi-billion dollar refinery is a deal between Nigeria and China and it is meant to boost crude oil refining especially for domestic users of petroleum products such as petrol, kerosene and diesel. The proposed refinery will also have the capacity to process 300,000 barrels of crude oil per day.

But speaking with Shipping Position Weekly last week, the chairman of the Lagos Zonal Council of NUPENG, Alhaji Tokunbo Korodo acknowledged government efforts in investing in the oil sector and also explained that the absence of functional refineries in the country has led to reliance on massive importation of products to meet domestic requirements and that whenever there is a shortfall, the country always plunge into crises of fuel scarcity.

Korodo, however, cautioned that in constructing the proposed refinery, special attention must be given to the Nigerian content, stressing that “in the construction process, they must ensure that indigenous oil workers are used to work alongside the expatriates”.

He told our correspondent that: “It is a welcome development and we do not have anything against it in as much as it will boost my membership strength. However there must be assurances that our members will not be laid- off and local content should be taken cognizance of”.

Speaking further, he advised that the new refinery must meet international standard quality since it is going to complement the existing ones and that the existing refineries should be upgraded and maintained so as to function properly.

Shipping Position Weekly gathered that the proposed refineries will be sited in Lagos, Kogi and Bayelsa states respectably and is aimed at helping the country produce the estimated 750,000 barrels of oil per day and also to curb the importation of refined petroleum products.
Currently, the four existing refineries in Nigeria have a combined capacity of 445,000 barrels per day though they are currently unable to operate at full production because of ageing equipment and poor maintenance.

 


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