President Buhari commissions Waltersmith Modular Refinery in Imo, South East of country

*Says project will make petroleum products available, eliminate importation

*Construction of 50,000bdp refinery will create bigger employment opportunities

By BASHIR ADEFAKA

“The role played by the Federal Government through the Nigerian Content Development and Monitoring Board (NCDMB) in going into collaboration with Waltersmith Refining and Petrochemical Company is novel in concept and superb in delivery,” Buhari said.

President Muhammadu Buhari finally broke the jinx of impossibility that has bedeviled revamping of crude oil refining on the ground of Nigeria, when on Tuesday November 24, 2020, he commissioned the largest Modular Refinery in the country to now make products more available for local consumption, export and eliminate importation of same.

The President, as military Federal Commissioner for Petroleum Resources, by his own discretion gave Nigeria the first experience of ever owning refineries as part of reason Naira exchanged at stronger stake than Dollars in the late 1970s and early 1980s.

Strong believer of why Nigeria should not import fuel, President Buhari has made frantic effort since he assumed office as civilian President on May 29, 2015  to put the old refineries, which had gone moribund due to lack of proper maintenance by subsequent administrations up to the one he succeeded, back to function, until it became impossible for the fact of disruption of the efforts by militants bombing of oil installations in the Niger Delta region and lack of cooperation by members of the communities.

He, therefore, resorted to energizing private-government participation by giving a human face to licenced Modular Refineries policy, one of which was Watersmith Limited, operators of Watersmith Refinery, in Ibigwe Field, Ohaji Egbema Local Government Area of Imo State, South Eastern Nigeria. There had been more modular refineries put to work since flag off of the modular refinery initiative under Ibe Kachikwu as Minister of State for Petroleum during the first term of the ongoing Buhari administration and this being the largest so far.

We reported earlier that, when commissioned, the modular refinery in Imo will make possible the lifting of 23 trucks of petroleum products from the facility on daily basis.

Commissioning the project on Tuesday, President Muhammadu Buhari said the establishment of modular refineries in the country will make petroleum products available in the country and eliminate importation.

The President spoke at the virtual inauguration of the 5,000 barrels per day Waltersmith modular refinery in Ibigwe, Imo State, as well as the Ground-Breaking Ceremony for the Phase-2 works to expand the capacity of the refinery to 50,000 barrels per day.

According to a statement sent to The DEFENDER Tuesday by Special Adviser to the President on Media and Publicity, Mr. Femi Adesina, President Buhari said the deployment of modular refineries was one of the four key elements of his administration’s Refinery Roadmap rolled out in 2018, adding that its implementation will make Nigeria a net exporter of petroleum products.

He expressed delight that Waltersmith refinery in Ohaji Egbema Local Government Area of Imo State was coming on stream within two years of the commencement of the Roadmap, after many years of granting licenses for the establishment of modular refineries with nothing to show for it.

”Furthermore, there is increased momentum in the other three focus areas under the Roadmap covering the Rehabilitation of existing refineries, Co-location of new refineries, and Construction of greenfield refineries.

”The realization of the Refinery Roadmap will ultimately lead us to becoming a net exporter of petroleum products not only to our neighbouring countries but to the worldwide market.

“This modular refinery is the largest commissioned modular refinery in the country today.

”The role played by the Federal Government through the Nigerian Content Development and Monitoring Board (NCDMB) in going into collaboration with Waltersmith Refining and Petrochemical Company is novel in concept and superb in delivery,” he said.

The President described plans to commence the expansion of the capacity of the refinery to 50,000 barrels per day to refine crude oil and condensates as an important part of economic reforms the country is undergoing.

”I look forward to seeing this new phase completed within the target timeframe,” he said.

President Buhari, therefore, directed the Ministry of Petroleum Resources, Department of Petroleum Resources (DPR), NNPC, as well as all relevant Government Agencies to provide Waltersmith Company all the necessary support to access crude oil and condensate feedstock for the timely delivery of the additional capacity.

In line with his administration’s agenda on jobs creation, the President said he was pleased to note that hundreds of direct and indirect jobs were created during the construction of the first phase of the project in addition to the various business opportunities.

Equally, he expressed hope that the construction of the second phase of the project will create bigger additional employment opportunities.

President Buhari thanked the local community and the people of Imo State for hosting the refinery, which, he stressed, will bring prosperity and economic development to the area.

The President commended the Ministry of Petroleum Resources, the Honourable Minister of State for Petroleum Resources, Timipre Sylva, the Chairman and members of the Governing Council, and the management and staff of the Nigerian Content Development Board for making the public-private partnership a success.

He also commended the Chairman, Board, Management and Staff of Waltersmith Refining and Petrochemical Limited for their professionalism and focus in getting the project completed.

Governor Hope Uzodinma of Imo State and the Minister of State, Petroleum, cut the tape on behalf of the President at the event which was also attended by the Group Managing Director of NNPC, Mele Kyari, the Executive Secretary, NCDMB, Engr. Simbi Wabote and the Chairman of WalterSmith, Abdulrazaq Isa.

It will be recalled that in May this year, an announcement was made in a statement released by Edobor Iyamu, Senior Special Assistant to the President on Niger Delta Affairs, Office of the Vice President, of three (one brownfield and two greenfields) out of six anticipated modular refineries that were ready for commissioning.

The Modular refinery initiative was flagged off in 2016/17 under the auspices of past Minister of State for Petroleum, Dr. Ibe Kachikwu.

In 2017, the Federal Government of Nigeria set up policies and created an intervention fund through the New Vision Program for the Niger Delta, to support and promote the establishment of modular refineries. It was a way of boosting the local refining of crude oil, as all the refineries were private-sector led, with the Nigerian Government providing support.

The Modular refinery initiative was flagged off in 2016/17 under the auspices of past Minister of State for Petroleum, Dr. Ibe Kachikwu, to support the private sector and develop the Niger Delta region. Now, the initiative is showing positive results, with the establishment of modular refineries in states across the region.

The refineries announced in that statement to be ready for commissioning are:

1. Niger Delta Petroleum Resources Modular Refinery, Rivers State; 2. Opac Modular Refinery, Delta State; and 3. Waltersmith Refinery, Imo State.

The Niger Delta Petroleum Resources Modular Refinery in Rivers State was the only functioning modular refinery in the country before 2016.

From an initial 1,000 barrels per day facility, it had been expanded to a 5,000 barrels per day facility, which was reportedly completed since January.

The other modular refineries that are yet to be completed are:

1. Ikwe-Onna Refinery, Akwa Ibom State;
2. Azikel Refinery, Bayelsa State; and 3.
AIPCC Refinery, Edo State

The initiative is already a source of inspiration, as earlier this year, the Nigerian Content Development and Monitoring Board (NCDMB), in partnership with Waltersmith Petroleum Oil Limited, announced that it aimed to assist Equatorial Guinea in the development of in-country modular refineries. In January, the Executive Secretary of the NCDMB, Engr. Simbi Wabote, and Chairperson of Waltersmith, Abdulrazaq Isah, led the Minister of Mines and Hydrocarbons Equatorial Guinea, His Excellency Gabriel Obiang Lima on a tour of the Waltersmith 5,000 bpd modular refinery at Ibigwe, Imo State (one of the refineries ready for commissioning).

This is a laudable initiative and landmark by the Nigerian government. The private-public sector collaboration will yield lots of positive results, and the residents of communities in the oil-producing region will benefit massively from this too.

Other photos from the event below: