Oscarline Onwuemenyi
21 February 2018, Sweetcrude, Abuja – Delta State Government has stated that it would commence the construction of three modular refineries, with a capacity of 10,000 barrels per day before the end of the year.
Speaking at the ongoing Nigerian International Petroleum Summit (NIPS) in Abuja, Commissioner for Oil and Gas, Delta State, Mr. Mofe Pirah, said the state is currently awaiting approval from the Department of Petroleum Resources for it to commence production
He said, “Delta state already has three modular refineries waiting to take off now. One in Sapele, one in Kwale axis, one in Ukpai. They are 10,000 barrels each.
“They are yet to come on stream because of the rigours associated with getting approvals from the Department of Petroleum Resources (DPR) and getting funding among others. Some of the refineries have gotten certificates, some have acquired the site and engineering works is in progress. The construction of the refineries would commence this year.
He also disclosed that the state is working tirelessly in addressing the challenges in the Niger Delta, especially, noting that the state’s efforts is already yielding fruit.
He said the state’s engagement with oil-producing communities had restored Nigeria’s crude oil output and had increased the country’s revenue base.
He said, “In 2016 it was rough and tough in the Niger Delta, particularly in Delta State, but we have been able to calm it down seriously. “Since first quarter of last year till today, I’m sure you would read minimal about pipeline vandalisation and crude oil theft. And you could equally note that Nigeria’s crude oil production had moved up tremendously.
“You can also see what comes into the Federation Account revenue from oil and gas sales since the first quarter of last year has been going up compared to what happened in 2016.
“Delta state government is going round all the communities to ensure peace. You can feel it that things are moving up. Delta state is safe now and investors are there. I should let you know that Heritage Oil has started product.
“The company is the owner of OML 30. When that oil well was abandoned, there were producing 30,000 barrels per day, but as I speak with you, Heritage is producing about 75,000 barrels per day and they have a lot of drilling activity coming up from the second quarter of this year.
“They have chosen to invest in Delta state, in gas and oil. Also, Seplat and Neconde is doing well, a lot of the oil companies are doing well.
“We have told the communities if they have any issue, they should come back to government; we have desks set up to resolve matters before they escalate.”
Also speaking, Commissioner for Commerce for Industry, Mrs. Mary Iyasere, called for proper organisation and coordination of mining activities between the Federal Government and State Government to ensure that states also benefit from solid mineral resources in their domain.
Speaking in the same vein, Consultant to the Delta State Government on oil and gas development and Chief Executive Officer, Gas Invest Nigeria, Mr. David Ige, said, “There is a major transformation going on in the state. Recently, Delta State moved up as one of the best place, in terms of ease of doing business in the country.
“It is also one of the top in terms of human capacity development. Delta state is one of the most endowed state with natural gas in Nigeria. Also 30 to 40 per cent of our total reserves in Nigeria are based in Delta.
He added that, “A lot of this gas is what had been powering the country as a whole, but not much has been domiciled in the state to transform the state.
“Now Governor Okowa has initiated this industrial park project in Kwale. This is the first time Delta state is leveraging its own gas for competitive advantage in industrialisation.
“In Kwale area, where you have got some marginal gas fields on site. The Delta State government is taking advantage of proximity of this gas for industrial development.”
