Another billionaire set to complete $1 billion refinery in Nigeria
- Azikel Refinery in Bayelsa State is in its final construction stage, with about 700 engineers and workers currently on site
- The $1 billion facility has been redesigned to process 25,000 barrels per day, up from the original approved capacity
- Eruani described Azikel as Nigeria's second-largest full-slate refinery and the only one in Africa built to convert condensate into a full product range
PAY ATTENTION: Mark Legit.ng as a preferred source, and our content will appear higher in your Google feed!
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Nigerians may soon have another operational refinery as billionaire businessman Azibapu Eruani’s Azikel Refinery in Yenagoa, Bayelsa State, enters its final stage of construction.
The refinery is designed to process 25,000 barrels of crude oil or condensate daily and produce petrol, diesel, aviation fuel, kerosene, liquefied petroleum gas and other refined products.
Source: Getty Images
The refinery is designed as a full-slate hydro-skimming plant with a capacity to process 25,000 barrels of crude oil or condensate per day.
Eruani, president of Azikel Group, disclosed the development during a recent tour of the refinery complex by members of the Nigerian Society of Engineers.
Nigerian billionaire builds refinery
About 700 engineers and other personnel are currently working on the completion of the project, with most of the workforce comprising young Bayelsans and Nigerian engineers alongside expatriate specialists.
Azikel said the refinery is expected to employ more than 3,000 people when it becomes operational, while the project has already generated more than 80,000 indirect jobs, Biilionaires.Africa reports.
Mac Jokori, chairman of the Nigerian Society of Engineers, Bayelsa branch, described the facility as a major milestone for Nigeria's refining industry.
Jokori said the refinery had complied with high engineering standards and would contribute to industrialisation, local capacity development and employment opportunities for young Nigerians.
Refinery to produce petrol, aviation fuel
The Azikel facility is a full-slate hydro-skimming refinery designed to process both crude oil and condensate.
The refinery is expected to produce premium motor spirit, diesel, aviation fuel, kerosene, liquefied petroleum gas and other petroleum products.
Eruani said the ability to convert crude oil or condensate into petrol and aviation fuel was a major feature of the refinery.
He described Azikel as Nigeria’s second-largest full-slate refinery and said it was the only refinery in Africa designed to process condensate into a complete range of products.
Guardian reports that the company plans to expand the refinery’s capacity to 125,000 barrels per day in the future.
Source: Getty Images
Azikel refinery capacity increased
The refinery project has grown significantly from the facility initially approved by regulators.
The project received approval in 2015 under former President Muhammadu Buhari.
In November 2023, Azikel Petroleum signed a $259 million debt funding agreement with the African Export-Import Bank for a 12,000-barrel-per-day hydro-skimming refinery.
However, Eruani said the project subsequently underwent enhanced value engineering and redesign, increasing its capacity to 25,000 barrels per day.
“The Azikel Refinery licensed by former President Muhammadu Buhari in 2015 has now gone through several enhanced value engineering and redesign to a 25,000 barrels per day capacity. It is now a $1 billion investment.”
Azikel Petroleum contracted US oil services company McDermott for feasibility studies and construction work on the facility.
Nigerian company to build ‘world class’ refinery
Earlier, Legit.ng reported that Clarivo Oil and Gas Ltd has announced plans to construct a world‑class oil refinery in Calabar.
Obidike Chukwuebuka, speaking to journalists in Calabar said the proposed facility will be developed in multiple phases and feature state‑of‑the‑art technologies designed to produce high‑quality petroleum products.
The company projects that the refinery will come online within about five years, subject to regulatory approvals and the successful completion of project phases.
Source: Legit.ng
