NIPCO raises fuel storage facility to 84 million litres
The Nigerian Independent Petroleum Company (NIPCO) plc, has expanded its storage capacity to 84 million litres.
The Managing Director of the company, Venkataraman Venkatapathy who disclosed this on the sidelines of the company’s 12th yearly General Meeting (AGM) in Abuja, said the new investment undertaken by the company recently led to the construction of additional tanks for storage of white products .
According to him, the new storage facility can store 34 million litres of petroleum products, a feat that would drive the company to further consolidate its role in the downstream sector.
The managing director affirmed that going into construction of new projects at this time was a vindication of the company’s belief in the resilience of the Nigerian economy stressing “even though this is a very challenging period in the nation’s history, we are still upbeat of better days ahead. He told the exited shareholders with the additional storage, NIPCO’s efforts to store petroleum products has now increased to 84 million from the erstwhile 50 million litres thereby enhancing her capacity to take deliveries of bigger vessels laden with huge products with no stress on where to discharge.
He informed that the project which built to international standard can store all grades of white products and has been effectively linked with the Apapa jetty reception point as well as the ten point loading gantry in the terminal.
Venkataraman noted that though the operating environment has been very tough, concerted efforts will be made to contain the effects on the company with the broad policy outlines of the Board of Directors and active support of the workforce as well as plethora of stakeholders.
According to him , “NIPCO’s sales and marketing strategies together with its competitive pricing policy have facilitated the considerable market share of the company in all its lines of business adding that to maintain the trend , “ we would continue relentlessly to maintain new initiatives to maximise this enviable position n the industry”.
He said that the company has stepped up its interventions in deepening the use of gas as domestic cooking fuel by distributing free gas cylinders and burners residents of its host community –Apapa for the second year running.
The Chairman OF NIPCO, Chief Bestman Anekwe, however lauded officials of the Department of Petroleum Resources (DPR) for their efforts in ensuring that fuel is not sold above government approved price thereby protecting the public from marketers who engaged in hoarding or selling products above the stipulated amount; with erring stations sealed off and products dispensed free to motorist.
Anekwe assured shareholders that NIPCO would continue to provide improved returns on their investment in form of dividends and capital appreciation. Saying that the optimism is predicated on the proactive measures being put in place to ensure that its brand continues to elicit tremendous clientele in the industry.
He pointed out that though Nipco had announced a turnover of N145billion and a profit after tax of N2.3billion, during the last AGM; the prevailing difficult environment in the sector in 2015 turnover dipped to N115billion and profit after tax to N1.4billion. In spite of this decline, he noted that it is rather commendable considering the plethora of challenges the company went through last year.
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