Local Oil Firm To Start Production At Its Lagos Refinery This Year


Integrated Oil and Gas Ltd. on Saturday, said its $116 million modular refinery would come on stream before the end of 2016.

Group Managing Director of the company, Mr Anthony Iheanacho, told newsmen in Lagos that the company had been given provisional licence to commence preliminary work for a 20,000-barrel capacity modular refinery.

Iheanacho, who conducted the newsmen on tour of site of the proposed refinery at Tomaro Island Port, off Takwa Bay, Lagos, said that the preliminary approval was received from the Department of Petroleum Resources (DPR). According to him, work had commenced on the Environmental Impact Assessment (EIA) and other necessary requirements to facilitate the final approval for the refinery.

He said that funds for the project would be sourced from local and foreign financial institutions

Iheanacho explained that the refinery would produce Automated Gas Oil (AGO) otherwise known as diesel, kerosene, export quality aviation fuel and fuel oil. But it does not have the capacity to produce Petroleum Motor Spirit (PMS) also known as petrol.

However, Iheanacho said that the company was still awaiting some documents to start construction on the island, contrary to claims by one resident of the area, who petitioned that work had commenced at the site.

“We have not even started construction by the way; we are just going through the pre-application process,” he said.

Iheanacho appealed to the Federal Government to support indigenous oil companies which are striving to grow the oil and gas sector, adding that government should also support local companies with funding.