Lagos — Mele Kyari, Group Managing Director of the Nigerian National Petroleum Corporation, NNPC has said there exists about $3.097 billion investments in condensate refineries across the country.
Kyari said this on Tuesday at the 15th OTL Africa Downstream Week 2021 in Lagos.
According to him, while Nigeria is in dire need of such funds to boost condensate refining, the NNPC also needs between $1.6-$2.7bn to improve supply and distribution of petroleum products, revamp LPG infrastructure, and build CNG plants.
He said Nigeria’s demand for petroleum products is expected to grow from 15.1 million metric tonnes in 2020 to 17.3 million MT by 2025. .
“The country needs a refining capacity of about 1.52 million barrels per stream day, to meet its PMS requirement in the next four years.
“The NNPC Refineries’ 445,000 BPSD and Dangote Refinery’s 650,000 BPSD running at 60 per cent and nameplate capacity respectively would supply 76 per cent of that requirement, leaving a shortfall of about 17 million litres of PMS daily.
“NNPC is adding 215,000bpsd of refining capacity through private sector driven co-location at the existing facilities in PHRC and WRPC respectively. Modular refineries are also adding capacities such as the 5,000 BPSD Walter smith refinery which will be upgraded to 50,000 BPSD.”
According to Kyari, Additional 250,000bspd is expected to come from the condensate refineries through the private sector partnership.
He said the co-location and condensate refineries would close the PMS supply-demand gap and create positive returns to the investors.