Niger Delta Petroleum to spend $25m on Ogbele refinery expansion

14 October 2014, Lagos – The Niger Delta Petroleum Resources (NDPR) has concluded plans to spend $25 million, or 5.5 per cent of its earned revenue for the expansion of Ogbele refinery . The facility which is two years old currently produces 120,000 litres of diesel every day. The company hopes to boost this volume to 600,000 litres of diesel daily and other fuel products .

Daily Independent gathered that funds for the project will be taken from the $450 million equity capital that the company is in the process of raising from the capital and money markets .

Port Harcourt refinery
The board of the company at its last Annual General Meeting, in September this year, received shareholders’ approval to raise additional capital of up to U$$450,000,000 , either local or international means, namely; capital raising method , including a public offer or special placing of shares, which will be subject to the approval of the appropriate regulatory authorities in the country.

The Ogbele marginal field is located 40km north of Port Harcourt in Nigeria’s Eastern Niger Delta basin and sources about 1,000 barrels of crude oil daily feed stock for the plant, one of two such refining facilities not owned by the Government . The entire production of the Ogbele field currently is about 3,500 barrels of oil daily . NDPR officials admit that this is not enough for the expansion, but they are banking on purchasing crude oil from other producers in its catchment areas, the Niger Delta region to boost output.


– Daily Independent

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