*Approves $1.48bn for Rehabilitation
By Ernest Omoarelojie
The federal government has given the much sought lifeline to both the Warri and Kaduna refineries. Minister of State for Petroleum Resources, Timipre Silva, made the disclosure in Abuja on Wednesday shortly after the Federal Executive Council meeting, presided over by Vice President Yemi Osinbajo, which approved $1.48 billion for the process.
According to the Minister, the rehabilitation of both Warri and Kaduna refineries will be awarded to Messers Saipem SPA and Saipem Contracting Limited, and is expected to be carried out in three phases of 21, 23 and 33 months.
The approval for the two refineries will complete the rehabilitation processes for the country’s three refineries as FEC approved $1.5 billion for that of the Port Harcourt Refinery in March 2021
A breakdown of the figure indicates that while $897,678,800 was approved for the Warri Refinery, its Kaduna counterpart received $586,902,256.
“The completion of the rehabilitation of Warri and Kaduna refineries is going to be in three phases. First phase will be completed within 21 months, in 23 months phase two will be completed and in 33 months, the full rehabilitation will be completed,” he said, adding that rehabilitation works have commenced on the Port Harcourt Refinery, with 15 per cent of the contract sum already paid.
According to him, the federal government will be giving regular updates on progress reports.
“We also discussed in council the need for us to give periodic updates. Soon, we’ll be going to inspect the work in Port Harcourt refinery, and you will all be with us on that visit.”
The rehabilitation, as indicated in a statement made in June by the Group Managing Director of the Nigerian National Petroleum Corporation, NNPC, Mele Kyari, is expected to, along with the coming of private refineries, transform the country into becoming the hub of petroleum products and supply.