Crown Refinery Partners Nigeria’s Ondo State on $500m Modular Refinery

A modular refinery Firm, Crown Refinery & Petrochemical Limited, has announced an upcoming partnership with the Ondo State Government in a $500m Modular refinery. The Memorandum of Understanding (MoU) was signed amongst others by the state Governor, Mr. Rotimi Akeredolu and the Chairman of the Crown Refinery & Petrochemical Limited, Mr Kassim Adeleke.  This is according to a report published by the Guardian news site.

Adeleke said his company, when fully operational, would be engaged in the business of manufacturing lubricants and specialized packaging of products to meet the needs of valued clients. According to him, the refinery will be designed to process both imported paraffinic and Nigerian crude products into finished petroleum products, oils and lubricants. Adeleke also explained that the proposed initial design capacity of the plant is about 30,000 barrel per day (bpd), which is expected to be completed within 36 months and can as well be scaled up to meet 60,000 bpd. He stated that the existing four major refineries (approx. 445,000 bpd) in Nigeria, the West African sub-region still imports most of its petroleum products, hence the need to fill the gap brought about the birth of the Crown Refinery & Petrochemical Limited.

“This has been largely unmet by the existing supply from refineries in the region. Nigeria has four major refineries. However, the West African sub-region still imports most of her petroleum products. This is the gap that Crown Refinery & Petrochemical Limited is set up to fill,” he said.

According to him, the core mandate is refining crude oil into premium petroleum products, manufacturing lubricants and specialized packaging for products to meet the needs of their valued clients.

He said the Siemens partner would generate 40,000 megawatts for the company, which would also create 2,000 direct and indirect labour for the people, aside from other fringe benefits for host communities. The state governor, Mr. Oluwarotimi Akeredolu, assured the nine-member board for the modular refinery that the government would provide the enabling environment and incentives to support the actualization of the project.

Akeredolu, who reiterated that his administration was determined to make the state friendly for investments and business transaction through the Ondo State Development and Investment Promotion Agency (ONDIPA), hinged the determination on numerous efforts to develop infrastructure and ease transportation problems in the state. “We want to have a road that will easily link Ondo to Lagos State within a 40-minute drive. This is the project we believe that is not only for your benefit, which you will make money, but it is also for the benefit of our people and the state at large.”