Lagos — Nigeria said it welcomes all interested countries as it seeks a combined $4 billion for rehabilitation of both Warri and Kaduna refineries, including associated pipelines.
A proposal on ‘Nigeria National Petroleum Corporation Energy Infrastructure Opportunities’ presented by the Nigerian National Petroleum Corporation, NNPC to the U.S Commercial Service said the sum of $2.5 billion is needed for Kaduna refinery rehabilitation, while $1.5 is needed for Warri refinery rehabilitation.
According to the document, Nigeria said it is open to foreign investments, while at the same time offering mouth-watering return on investment packages to interested entities.
“Nigeria is ready and accessible for investments from all interested countries, individuals and partners. Let me assure you that your investment is secured in Nigeria and high return on investment is assured. Nigeria welcomes foreign investors to invest in the oil and gas industry,” the document read, quoting a statement from President Muhammadu Buhari.
A further breakdown of the $2.5bn needed for 10kbopd Kaduna Refinery and Petrochemical Company, KRPC project showed that $1.2bn is for rehabilitation, while $1.3 is for associated crude oil supply pipeline (Escravos to Kaduna).
On the Warri Refinery and Petrochemical Company, WRPC project, a breakdown of the $1.5bn needed showed that $1.2bn is needed for the rehabilitation, while $0.3 is needed for associated crude oil supply pipeline (Escravos to Warri).
Return on investment plan put in place include; Transportation Tariff from delivery of crude oil to Kaduna and Warri Refinery, Refinery Margins, Free cash flow from other NNPC operation, and Federal Government annual appropriation (Budget) backed by guarantee from Federal Ministry of Finance.