Mkpoikana Udoma
Port Harcourt — The Nigerian Content Development and Monitoring Board, NCDMB, has partnered an indigenous firm, Eraskon Nigeria Limited, to set up a 64,000 litres per day lubricant and chemical blending plant in Gbarain, Yenegoa, Bayelsa State.
The 64,000 litres of lubricants per day plant will produce engine oils, transmission fluids, hydraulic fluids, specialised four-wheel-drive products, engine coolants and specialty products such as waxes.
The facility also has the capacity to produce industrial chemicals such as drilling and production chemicals as well as transformer and turbine oils and household products such as detergents and aerosols.
Speaking at the groundbreaking of the lubricant plant, the Minister of State for Petroleum Chief Timipre Sylva, said the Federal Government remains committed to promoting local content and reducing importation of products which could be produce locally.
Sylva was represented by the Executive Secretary of the NCDMB, Mr Simbi Wabote, said the Board was supporting Eraskon Nigeria Limited with equity capital for the establishment of the plant which will created 200 direct jobs.
According to him, Nigeria currently consumes about 250 million liters of engine oils per annum and this consumption grows at more than 5percent every year due to the addition of new vehicles and machineries.
He regretted that the country’s blending capacity has been 150million liters per annum, showing a shortage of about 100 million liters; noting that the deficit was met by importation of finished lube products, with the attendant loss of revenue and job opportunities.
“Section 70(h) of the Nigerian Oil & Gas Industry Content Development (NOGICD) Act of 2010 mandates the Board to assist local contractors and Nigerian companies to develop their capabilities and capacities to further the attainment of the goal of developing Nigerian Content in the Nigerian oil and gas industry,” he recalled.
Wabote commended the vision of ERASKON management in setting the lubricant plant which according to him will provide jobs for over 200 persons and over 800 indirectly.
Wabote who performed the grounbreaking ceremony on behalf of the Minister directed the use of Eraskon oil and lubricants for all NCDMB fleet vehicles as a demonstration of confidence in the idegenous company.
Earlier, the Executive Vice Chairman of Eraskon Group, Mr. Maxwell Oko, explained that Nigeria accounts for about 20 percent of Africa’s total demand for !lubricants, while commending NCDMB for the partnership.
“The idea of building a lubricant blending plant follows our determination to contribute to Nigeria’s industrial development.
“Lubricants are the lifeline of every engine. Our confidence was further boosted by our partnership with the Nigerian Content Development and Monitoring Board who, from their investment in us, demonstrated a clear commitment to our vision.
“Specifically, this lubricants blending project aims at providing employment, developing local manufacturing capacity and increasing local content participation in the industry.
“We believe our people can grow better with proper transfer of knowhow and the best way to aid that process is to site companies where such knowhow can be put to use closer to them.
“We want all Bayelsa people, Niger Deltans and indeed Nigerians to see this project as part of our own achievements in commerce and industry.”
Also, former President Goodluck Jonathan who earlier performed the products launch applauded NCDMB for supporting Eraskon’s lubricant project and the Azikiel Refinery located in the same area.
“Today is a happy day for me. That we are seeing this in Bayelsa. This project will attract other investments and beyond increase the revenue of the state.”
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