The administration of President Bola Ahmed Tinubu has granted licenses to three oil companies to establish refineries in Edo, Delta, and Abia states.
This refineries are expected to add 140,000 barrels per day (bpd) to the country’s refining capacity.
Eghudu Refinery Limited, based in Edo State, has received approval to construct a 100,000 bpd refinery while MB Refinery and Petrochemicals Company Limited has been permitted to set up a 30,000 bpd facility.
Meanwhile, HIS Refining and Petrochemical Company Limited in Abia State has been granted a license for a 10,000 bpd refinery.
The regulatory authority’s chief executive, Farouk Ahmed of Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) officially presented the licenses to representatives of the three companies.
This move is expected to increase local refining output and reduce Nigeria’s dependence on imported petroleum products.
It will be recalled that in August 2024, the authority granted an operational license to Edo Refinery and Petrochemical Company Limited, allowing it to begin full operations.
Nigeria has several operational refineries, including the Dangote Petroleum Refinery, Warri Refinery, Kaduna Refinery, and Port Harcourt Refinery.
Despite having a total refining capacity of nearly one million bpd, many of these refineries do not operate at full capacity.
