Fuel Supply To Increase As FG Grants Licenses For Companies To Operate Refineries In Nigeria

Nigeria’s fuel supply is set to increase as the Federal Government, through the Nigerian Midstream and Downstream Petroleum Authority (NMDPRA) has granted licenses to nine modular refineries, seven construction licenses, and four operational licenses.

The development was announced by Farouk Ahmed, CEO of NMDPRA, at the 2024 Oil Trading & Logistics Africa Downstream Energy Week in Lagos on Monday.

According to Ahmed, under President Bola Tinubu’s administration, Nigeria’s refining capacity has been expanding, particularly with the commencement of production by Dangote Refinery.

“Over the course of the last year, the NMDPRA has revised and consolidated its regulations through strategic industry stakeholder engagements with a view to streamlining the regulatory framework for ease of doing business and compliance. This is complemented by the issuance of relevant guidelines on automation for processes to strengthen regulatory clarity and enhance compliance.

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“Our refinery sector has been expanding rapidly with the issuance of nine licences to establish, seven licences to construct and four licences to operate modular refineries,” he stated.

The NMDPRA boss said the President’s reforms have made the oil and gas industry an attractive investment opportunity, fostering profitability and successful economic endeavours. According to him, Nigeria aims to produce 3 million barrels of crude oil per day and 10 billion standard cubic feet of gas per day for domestic use before the end of the administration.

“Indeed, the Nigerian petroleum industry collector has all the complements of enabling structures to facilitate its growth and success. The NMDPRA is fully committed to supporting all the reform initiatives of Mr President and the mainstream and downstream subsector through enhanced regulatory processes, including efficient issuance of licences, permits and provisions,” he said.

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One thought on “Fuel Supply To Increase As FG Grants Licenses For Companies To Operate Refineries In Nigeria

  1. Cock and bull story, what of the four government refineries especially Port Harcourt refinery turn around maintenance has become a white elephant project. Very very unfortunate.

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