The Minister of State for Petroleum, Dr. Ibe Kachikwu, has in a speech given to newsmen in Rivers state explained that Nigeria needs as much as $700m if the refineries were to be upgraded and made to work up to 90% capacity.
This was during the re-inauguration of the Port Harcourt/Bonny Crude Supply Line at the Port Harcourt Refining Company (PHRC), Eleme, Rivers.
With a project so big in mind, advertisements have been put out inviting investors to come in as Nigeria doesn’t have that money.
Kachikwu said on the issue on investment “So, the best thing to do is to find a very creative way to bring in investors, who will come in, work with our team here;
“Investors, who have the skills to reactivate and upgrade facilities in this place and help us provide technical support and we will pay through the flow-out of the refined products over time,”
The minister stated that the daily consumption of premium motor spirit (pms) currently stands at about 45 million litres and said the refineries now operating at 60 per cent capacity could only produce 12 million, adding that there was need to upgrade the refineries to produce at 90 per cent minimum to produce about 20 million litres.
He mentioned that though foreign investment and expertise will be needed, it wouldn’t mean the loss of control for Nigeria.
“We have signed the advertisements for investors to come in. There is no confusion about what they are coming to do; they are not coming to run the refinery. They are coming to provide funds to take our performance on these refineries to 90 per cent and to provide us with technical skills. So, the areas of intervention will be funding and technical support,”
He also expressed optimism about the end of the current fuel crisis and development in the future
“Lagos is easing off now from fuel scarcity and Abuja is doing the same thing; once Kaduna begins to produce, the North will see a lot of improvement.
“Over and above that, we are putting long-term policies in place to ensure that while smaller marketers go out and do their stuff, we can then be the key suppliers for the rest of the country.”
Even with this Kachikwu has said there’s still a lot to do.
He said “I told you I will never give up.
“We owe Nigerians the duty to ensure that the refineries are working. We owe Nigerians that, we can’t give up,” he said.