VENTURES AFRICA – Africa’s richest men Alhaji Aliko Dangote’s quest to become a player in Nigeria’s oil industry by developing an independent 400,000 barrels-per-day capacity refinery has gathered momentum, with Indian company Engineers India Limited (EIL) awarded a contract to provide consultancy, procurement and engineering services for the project.
The state-owned Indian firm will be required to provide project management consultancy (PMC) services, as well as engineering, procurement and construction management (EPCM) for the Nigerian refinery, Business Day reported.
“Under the agreement, EIL will provide project PMC and EPCM services for implementing a grassroots 400,000 barrels per day (20 million tons) refinery and 600,000 tons a year polypropylene plant,” A K Purwaha, EIL’s Chairman and MD.
Last year, the chairman and CEO of the Dangote Group, Aliko Dangote, made public his intention to delve into Nigeria’s oil sector, stating plans to develop a multibillion oil refinery, a petrochemical plant and fertilizer plants in Nigeria, with the Ondo Free Trade Zone a primary target for locating the projects.
The refinery is expected to gulp over $9 billion, and will double the country’s total output of 445,000 barrels-per-day, currently produced by its four state-owned refineries. It is expected to become the largest indigenously owned refinery in Africa.
This was first published on ventures-africa.com