Iheanacho Announces $116m Oil Refinery

PM News Nigeria

Integrated Oil and Gas Limited on Saturday, said its 116 million dollars modular refinery would come on stream before the end of 2016.
Group Managing Director of the company, Mr Anthony Iheanacho, told newsmen in Lagos that the company had been given provisional licence to commence preliminary work for a 20,000-barrel capacity modular refinery.
Iheanacho, who conducted the newsmen on tour of site of the proposed refinery at Tomaro Island Port, off Takwa Bay, Lagos, said that the preliminary approval was received from the Department of Petroleum Resources (DPR).
He said that work had commenced on the Environmental Impact Assessment (EIA) and other necessary requirements to facilitate the final approval for the refinery.
He said that funds for the project would be sourced from local and foreign financial institutions
Iheanacho explained that the refinery would produce Automated Gas Oil (AGO) otherwise known as diesel, kerosene, export quality aviation fuel and fuel oil.
According to him, the refinery does not have the capacity to produce Petroleum Motor Spirit (PMS) also known as petrol.
“Tomaro Island with about 90 hectares is designed as one-stop shop which will comprise refinery, flour mill, ship repair yard, helipad site and resort centres.
“It will also create massive employment for our teeming youths. Crude would come to the refinery through vessels for refining,‘’ he said.
The GMD said that the company was still awaiting some documents to start construction on the island, contrary to claims by one resident of the area, who petitioned that work had commenced at the site.
“We have not even started construction by the way; we are just going through the pre-application process.
“I am ready to stand by the truth and what is right at all times. I am not the one to go and appropriate property to build a refinery.
“I am not going to put my hands in your pocket and force money out of it. I am not going to force you to tell me what you do not know about building refineries.
“ Refineries are very important infrastructure in the country and it will enhance the image and prestige of the country.
“If I think that I can articulate a business plan, that I can talk to the bank and they will then lend me money to build the refinery, while will I not do it? I do not want anybody to be deceived or fooled by fake or funny stories,” he said.
Iheanacho, however, appealed to Federal Government to support indigenous oil companies which are striving to grow the oil and gas sector, adding that government should also support local companies with funding.
“We are in absolute support of growing indigenous capacity in every facet of our oil and gas industry.
“This is because the local companies are paying their taxes, reinvesting their capital and creating enormous job opportunities for the larger community.
He said that with such encouragement, Nigeria’s participation in the industry would rise significantly in line with government’s aspirations with the Nigerian Content Act.

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