A number of new refining projects have been announced in recent days, with the most notable of these being located in Nigeria.
Niger Delta Refinery & Petrochemicals Ltd has inked a US$ 1.7 billion agreement with Singaporean investors to finance construction of a greenfield refinery in the Niger Delta region.
The financing is a joint venture with the Eton Group of Companies of Singapore, and in conjunction with Qua Petroleum Refinery Ltd. US$ 1.4 billion has been earmarked for re-engineering and construction, while another US$ 300 million has been set aside specifically for the provision of crude feedstock.
The financing deal represents a significant coup for the Qua refinery, which was granted licence to produce gasoline, kerosene, diesel and LPG by the Nigerian government in 1996.
With this deal now in place, construction will begin before the year is out. The project, located in the Akwa Ibom state, is estimated to create 750 direct jobs as well as 4000 – 7000 indirect jobs.
Meanwhile, Petrolimex, Vietnam’s top importer and distributor of oil products, has obtained government approval for a 4.99 trillion dong (US$ 239 million) investment in a new petrochemical complex.
The company is planning to utilise its own funds and loans from commercial banks to build the Nam Van Phong facility. This news follows Petrolimex’s previous announcement that it is in talks with a South Korean company to build the Nam Van Phong refinery in a US$ 4.8 billion joint venture.
In India, Bharat Petroleum (BPCL) has begun preliminary work to expand its crude processing unit at Bina. The expansion, which is set to be completed by 2015, should increase capacity by a third.
Written by Joe Hester.