Waltersmith’s modular refinery to deliver 271m litres of refined products
An indigenous oil firm, Waltersmith Petroman Oil Limited, says the first phase of its modular refinery facility located in Ibigwe, Imo state, has capacity to deliver about 271 million litres of refined products such as diesel, kerosene, heavy fuel oil, HFO, and naphtha, per annum.
The company, in a statement by its Managing Director and Chief Executive Officer, Mr Chikezie Nwosu, noted that the facility would be ready for commissioning by late September or early October 2020.
Nwosu said in 2018, Final Investment Decision, FID, was taken to build the refinery and in October 2018 the ground-breaking ceremony was done, effectively kicking off the construction phase in November 2018.
According to him, the first phase of the modular refinery targeted 5,000 bopd of own operated crude as feedstock with alternative sources including the over 7,000 bopd NNPC/SEPLAT OML-53 joint venture Ohaji South production processed at Waltersmith’s Ibigwe flow station.
He noted that negotiations on crude sales and purchase agreements are at an advanced stage with both SEPLAT and NNPC.
“The 5,000 bopd Phase 1 Refinery was to be commissioned in Q2 2020, an achievement that would have resulted in 18 months to deliver this project: among the fastest in the world. By March 2020 the Refinery had progressed to 98% completion, but was delayed due to the global COVID-19 pandemic.
“Commissioning is now planned for late September / Early October 2020 and the Honourable Minister of Information and Culture, Alhaji Lai Mohammed, was invited with other dignitaries for a pre-commissioning tour of the Refinery on Tuesday the 15th of September 2020.
“With the exceptional planning and execution of this first Phase of the refinery, Waltersmith initiated the Front End Engineering Design (FEED) for the 25,000 bpd Phase 2 Condensate Refinery and the 20,000 bopd Phase 3 Oil Refinery to maximize feedstock from the nearby ANOH Gas Plant Company (AGPC) and some additional Commercial discussions were progressed on some nearby oil and gas assets, with the investments proposed by Waltersmith to develop the oil assets to be used as feedstock for the 20,000 bopd Refinery (and the gas assets for the 300MW Ugamma Gas Power Plant, both enormously strategic to the domestic energy security strategy of Waltersmith and aspirations of the Federal Government of Nigeria,” he said.