Federal Govt issues 77 new refinery licenses to boost refining capacity
The Federal Government has granted 77 refinery licenses within a year in a major push to expand Nigeria’s refining capacity and reduce dependence on imported petroleum products.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) announced that it had issued 47 Licenses to Establish (LTE) and 30 Licenses to Construct (LTC) refineries.
The announcement was made on Tuesday by the agency’s Chief Executive Officer, Farouk Ahmed, during the sixth “Meet-the-Press” briefing held in Abuja.
Ahmed revealed that the 47 LTEs collectively represent a potential refining capacity of 1.75 million barrels per day (bpd), while the 30 LTCs could contribute an additional 1.23 million bpd.
However, only four refineries with LTCs are currently operational, producing a combined 27,000 bpd.
Highlighting key projects, Ahmed noted that five refineries under LTC are either under construction or in commissioning stages.
These include the Dangote Petroleum Refinery with a capacity of 650,000 bpd, AIPCC Energy’s 30,000 bpd facility, and Waltersmith’s second train, which adds 5,000 bpd.
Providing an overview of current refining activity in the country, Ahmed said Nigeria now has six licensed private refineries and four state-owned facilities producing a total of 1.12 million bpd.
Private sector players account for 679,500 bpd, with the Dangote refinery alone contributing 650,000 bpd.
Other modular refineries currently in operation include: Aradel Holdings – 11,000 bpd, OPAC Refinery – 10,000 bpd, Waltersmith – 5,000 bpd, Duport Midstream – 2,500 bpd, Edo Refining and Petrochemicals – 1,000 bpd
On the public sector side, the Nigerian National Petroleum Company Limited (NNPCL) is managing four refineries with a combined capacity of 445,000 bpd. These include: Port Harcourt Refinery – 150,000 bpd, Warri Refinery – 125,000 bpd, Kaduna Refinery – 110,000 bpd, Old Port Harcourt Plant – 60,000 bpd
“These strides demonstrate our commitment to developing Nigeria’s refining sector and reducing reliance on fuel imports,” Ahmed stated.
He added that the NMDPRA is intensifying efforts to license more modular refineries, with new projects approved in Edo, Delta, and Abia states, expected to add 140,000 bpd once operational.
Ahmed emphasized that expanding domestic refining is critical to strengthening energy security, creating jobs, and fostering economic growth.
