Minister envisions refinery boom
Nigeria is poised to become a global energy powerhouse, thanks to the development of local refining capacity, according to Heineken Lokpobiri, Minister of State for Petroleum Resources. Speaking at the inaugural summit of the Crude Oil Refinery Owners Association of Nigeria (CORAN), Lokpobiri emphasized the theme, “Making Nigeria a Net Exporter of Petroleum Products,” as a vital step toward economic growth and energy security.
Represented by Engr. Kamoru Busari, Director of Upstream at the Ministry of Petroleum Resources, Lokpobiri highlighted the summit as a crucial platform for stakeholders to explore opportunities in Nigeria’s midstream and downstream oil and gas sectors. “Refinery development is not just about infrastructure; it’s about energy security and positioning Nigeria as a global refining powerhouse,” he asserted.
CORAN Chairman, Momoh Oyarekhua, underscored the significance of the summit in reshaping Nigeria’s energy landscape, stating, “This is a pivotal moment in our history. We aspire to shift from being an importer to becoming a refining powerhouse.” He traced Nigeria’s refining journey, acknowledging early successes while pointing out that governance inefficiencies and unreliable crude supply have hindered progress, leaving the nation heavily reliant on imported refined products.
Despite an installed refining capacity of 1.122 million barrels per day (BPD), including the much-anticipated Dangote Refinery, current utilization rates remain low. CORAN has proposed a comprehensive strategy to rejuvenate the sector, focusing on securing sustainable feedstock supplies, implementing regulatory reforms, and encouraging new refinery investments.
Abdulrazaq Isa, Chairman of the Independent Petroleum Producers Group (IPPG), reinforced the need to harness Nigeria’s abundant hydrocarbon resources. “Nigeria should have no business importing crude oil for domestic refineries given our vast resources. We must unlock incremental crude oil and gas production to secure our energy future,” he stated.
Layi Balogun, Vice Chairman of ND Western, echoed the summit’s importance, emphasizing that while energy security is crucial, it must be accompanied by availability and affordability. “Achieving one without the others would mean we are walking on our heads,” he warned.
Looking ahead, CORAN envisions a future where Nigeria is not only self-sufficient but also a net exporter of petroleum products, creating jobs and diversifying revenue streams. The association is committed to advocating for the development of Nigeria’s refining industry and plans to reconvene next year to assess progress in achieving energy independence and economic growth.
