NNPC parleys Niger over crude oil supply to Kaduna refinery
The Nigerian National Petroleum Corporation (NNPC) has started discussions with Niger Republic to supply crude oil to Kaduna Refining and Petrochemical Company (KRPC).
This is to improve the capacity of the plant which currently stands at 60 per cent.
The bombing and vandalisation of pipelines by militants in the Niger Delta and the epileptic production due technical problems have limited the capacity of the plant to produce at optimal level.
The Group Managing Director (GMD) of the NNPC, Dr. Maikanti Baru disclosed this during a courtesy visit to the Governor of Kaduna State, Nasir El-Rufai.
While explaining steps being taken by the corporation to address the challenges of the plant, he said the Federal Government has started discussion with Niger Republic to supply crude oil to KPRC to boost its production capacity and redress the challenges posed by the militants.
Bagu said: “At the moment, Kaduna is the only crude oil refinery in the nation that supplies petroleum products to the north. The operation has been epileptic. The capacity utilisation now is about 60 per cent but we are working hard to restore this.
“We are planning to build pipeline over thousands kilometers from Agadir in Niger Republic to supply Kaduna refinery with crude oil. We have started discussion with the Nigerien minister of petroleum and some Chinese companies operating in the area.
“Kaduna is very important to oil and gas as it houses KRPC, NNPC zonal office and the new College of Petroleum Resources, which would begin operation on January 1, 2017.”
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2 Comments
Hopefully the Nigerien oil and pipeline will be paid for in Naira and not with the Delta oil dollars.
This is a foolish policy to say the least. Refusing to sort out Nigerian strutural problems by adding another dimention to it solves nothing. Hopefully the Chinese will not commit their funds to a project the North can not pay back.
Fantastic proposition. But please add strategic crude and Product storage facilities located in Kano, KauraNamoda, Kebbi,Sokoto, Gombe, Bauchi, Borno, Kwara, nassarawa, to complement the flow and create a meaningful capacity. Oil will however become a liability within the next forty years.
We will review and take appropriate action.