Indonesian Firm to Build Refinery in Akwa Ibom
By Modupe Gbadeyanka
An Indonesian firm called PT Intim Perkasa Nigeria Ltd, a subsidiary of PT Intim Perkasa, has revealed its intention to build a modular refinery in Akwa Ibom State, Nigeria.
The proposed refinery, according to PT Intim Perkasa Nigeria Ltd, will produce 10,000 barrels per stream day.
During a business meeting recently with the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mr Maikanti Baru, the Head of Investor Relations of PTPP (Persero) Tbk, partners to PT Intim Perkasa Nigeria Ltd, Mr Adi Hartadi, stated that the firm has over 50 years of experience in construction and engineering and it was desirous of diversifying into downstream operations in Nigeria.
Responding, Mr Baru, who was represented by the Chief Operating Officer (COO), Refineries and Petrochemicals, Engr Anigbor Kragha, stated that NNPC placed high premium on investment in the nation’s refining sector.
The GMD stated that the Corporation had a Greenfield Refinery Department that specialized in new refinery projects and also provided professional support to potential investors in modular refinery in the country in line with the Federal Government policy on modular refineries.
He explained that the country’s three refineries with a combined capacity of 445,000bpd could not function optimally over the years due to lack of investment, adding that NNPC would give necessary support to the Indonesian company interest in the downstream sector.
“On our end, we have embarked on ambitious plan to fast-track programmes to restore our capacity utilization from 30 percent to a minimum of 90 percent in the next 24 months.
“To do that, we are working on securing financing from third parties, not just funding, but also technical expertise to help us increase our performance to world class levels that they should be,” Mr Baru said.
He explained that given Nigeria’s expected population, by 2025, more than 40 million litres of petrol would be required for local consumption, adding that the combined capacity of the nation’s 3 refineries would only be able to satisfy just above 50 percent of the projected local demand.
He expressed optimism that with this kind of investment coming steadily, Nigeria could serve as a regional hub of refined petroleum products for West Africa and beyond.
He called on the investors to be mindful of clean fuel policy across African countries and ensure that they produce fuels that meet specification with regards to sulphur content.