Edo Modular Refinery, developed by Edo Refinery and Petrochemical Company Limited with support from the state government, is expected to earn about $125m from the export of naptha, one of the major products from the facility.
Chairman of ERPC, Michael Osime, in a statement on Monday, noted that the refinery benefitted from the Federal Government’s ease of doing business programme, which granted fiscal incentives on importation of equipment.
The modular refinery has reached 90 per cent mechanical completion and efforts are in top gear to beat the September 2020 commissioning deadline, with a team of over 250 local engineers and other workers.
Osime said the company would “meet 18 per cent of local demand for diesel and earn in excess of $125m from export of naptha yearly,” noting that the refinery would rejig the state’s economy by attracting feeder industries.
He added that Edo government supported the project with N700m, which accelerated the establishment of the company in the state, after signing a Memorandum of Understanding (MoU) with a Chinese Consortium led by Peiyang Chemical and Equipment Company of China and its Nigerian partners, Africa Infrastructure Partners Limited.
“ERPC is a beneficiary of Edo government’s policy of attracting investment to the state. The state government supported the refinery with N700 million, which will be paid back when production commences.
“We are also a beneficiary of the state government’s incentive to attract manufacturing companies to Edo. The incentives gave birth to a Nigerian-Chinese joint venture company, AIPCC Energy Limited.”
Osime noted that the company secured its Licence To Establish a refinery on December 10, 2018 and Approval To Construct on March 11, 2019 from the Department of Petroleum Resources, noting that DPR had been helpful in the establishment of the facility.
