Enugu Media Village (EMV), the Most Updated Online News Platform.
FORMER President Olusegun Obasanjo has called for the timely completion of the $1 billion Azikel Refinery in Bayelsa State, expressing his desire to witness the commencement of operations before his 90th birthday in March 2027.
Obasanjo made the appeal on Monday at Obunagha, Yenagoa Local Government Area, during the flag-off ceremony for the refinery’s Crude Distillation Unit (CDU).
Speaking at the event, the former president referred to his approaching 90th birthday and urged the project’s promoter, Dr. Azibapu Eruani, to ensure that the facility is completed within the next 12 months.
He recalled visiting the refinery site about eight years ago when construction was yet to begin, commending Eruani for sustaining the initiative and advancing the project towards its completion.
Refinery Expected to Boost Niger Delta Industrialisation
The Azikel Refinery, owned by Azikel Petroleum under the Azikel Group, is projected to process crude oil into various petroleum products, with reported daily output projections of 2.5 million litres of fuel and two million litres of diesel.
The facility is expected to contribute to Nigeria’s domestic refining capacity, create economic opportunities and strengthen industrial development in Bayelsa State and the wider Niger Delta region.
Obasanjo commended the refinery’s technical and engineering teams, alongside its financial partners, the African Finance Corporation (AFC) and Afreximbank, for supporting the project. He also called for additional financial backing to facilitate its completion.
Obasanjo Reopens Debate on 13% Oil Derivation
Beyond the refinery project, the former president reiterated his position that oil-producing states and communities deserve a fairer share of the revenue generated from their natural resources.
He described the existing 13 per cent derivation allocation as a starting point, encouraging continued engagement on the issue.
Obasanjo also commended Bayelsa State Governor, Senator Douye Diri, for the utilisation of derivation funds on development projects and for supporting the refinery initiative.
Eruani, Diri Highlight Economic Benefits
Speaking at the ceremony, Dr. Azibapu Eruani said the refinery would help accelerate industrialisation in Bayelsa and the Niger Delta, while positioning the region for greater participation in Nigeria’s petroleum industry.
He also acknowledged President Bola Tinubu’s support for indigenous refining initiatives, describing domestic refining as important to improving the availability and affordability of petroleum products.
Governor Diri, in his remarks, argued that the 13 per cent derivation allocation was insufficient to address the concerns of oil-producing communities. He also criticised aspects of the Land Use Act, calling for a review of the framework governing resource ownership and control.
The governor urged oil companies operating in the Gbarain/Obunagha area to support the project by rehabilitating the access road leading to the refinery.
He further encouraged residents of Bayelsa State to acquire relevant skills and prepare to benefit from the employment, business and industrial opportunities the refinery could generate.
A Potential Boost for Nigeria’s Energy Sector
The Azikel Refinery project represents a significant private-sector investment in Nigeria’s petroleum industry. Its completion could expand domestic refining capacity, support local industries and create opportunities across the Niger Delta.
However, the projected benefits will depend on the timely completion, commissioning and successful operation of the facility.
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