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Kachikwu reveals what Nigeria needs to rehabilitate refineries

In a bid to resuscitate the country’s refineries, the Minister of State for Petroleum Resources, Ibe Kachikwu, has revealed that Nigeria needs about N900 billion ($2.5 billion) before it could put back the nation’s refineries to proper shape.

Kachikwu stated this in Riyadh, Saudi Arabia on Wednesday, while meeting with minister of energy industry and mineral resources of the Kingdom of Saudi Arabia, Khalid Al Falih.

While noting that the country is currently weighing several options as concerns the rehabilitation of the refineries, he disclosed that the NNPC has been negotiating with foreign investors for over a year now, although it is yet to reach a conclusion for what ever reasons.

“We decided that we are going to dip our hands into our own Internal funds- which we don’t have a lot of – and make the money available.

What is required is about $2.5billion to rekit the entire refinery and the reason why I don’t want to go that way is the fact that the country is constrained.” 

Speaking further, he said Nigeria is also targeting countries that could help out in terms of refining. The minister asserted that the country remains a choice destination due to its resources.

“We are targeting those countries who want to put in investment either on a 100 per cent basis or collaboration with oil companies that have worked with them. 

“We want to leverage on the huge success of Saudi government in terms of petroleum. Last year alone, Saudi Aramco, an equivalent of NNPC, made about $200 billion as profits.

We have a lot of common ground, historical ties, religious ties and there’s a need to move further. We cooperate a lot with one another in OPEC, especially in the Ministry of Energy.”

Furthermore, Kachikwu also revealed that the country was setting up a team to actualise the plans.