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Buhari to build new refineries-Kachikwu
President Muhammadu Buhari

Buhari to build new refineries-Kachikwu

 

The Nigerian National Petroleum Corporation (NNPC),  says there is no plan by the present administration to kill the corporation, but that “the government is making plans to fix the existing refineries and thereafter, build new ones”.

The Group Managing Director (GMD) of the NNPC, Dr. Ibe Kachikwu, explained that rather than selling the existing refineries, the government would embrace the option of increasing their capacity through massive turn around maintenance.

Dr. Kachikwu made the disclosure to reporters on Wednesday during a visit to the Kaduna Refinery in Chikun Local Government Area of Kaduna State.

NNPC GMD: Dr. Ibe Kachikwu effecting the much needed change

NNPC GMD: Dr. Ibe Kachikwu effecting the much needed change

He was accompanied by the Managing Director of the refinery, Mr Saidu Mohammed and some top officials of the corporation.

The NNPC GMD said that the Kaduna Refinery, which currently produces at 60 per cent capacity, would soon hit full capacity production at the end of the rehabilitation exercise currently going on at the company.

“Kaduna Refinery is key to the sustenance of the nation’s economy, by the time it starts producing at full capacity,” he said.

The GMD explained that the target of the NNPC was to ensure that all the nation’s refineries would begin to refine petroleum products, with operation at full capacity.

He further assured Nigerians that efforts were in top gear to fix all the crude and petroleum products pipelines across the country, adding that the military would be engaged to provide land and aerial surveillance of the pipelines.

As part of determination to sustain the prevailing unimpeded nationwide supply and distribution of petroleum products, the Nigerian National Petroleum Corporation (NNPC) yesterday announced an interim Offshore Processing Agreement (OPA) with three of its Joint Venture companies namely Duke Oil, Carlson and Napoil to boost the supply of refined petroleum products.

The NNPC stated in a release by its spokesman, Ohi Alegbe, that the stop-gap OPA arrangement which is designed to run for three months obliges the Corporation to allocate a certain volume of crude oil within the period for refining at offshore locations in exchange for petroleum products at pre-agreed yield pattern.

The Corporation explained that the temporary OPA package will lapse with the advent of the fresh OPA contracts envisaged to come into effect at the end of the on-going public tender process

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