Page 13 - AfrOil Week 05 2022

AfrOil PROJECTS & COMPANIES AfrOil

These challenges have hindered movements remaining 30% in naira, in line with the terms
to and from the refinery and caused the loss of of its contract.
many project man-hours. The Italian company had carried out a
On a more positive note, however, NNPC $50mn, six-month “integrity check” in 2019,
said in the report that Tecnimont was in com- with Eni, another Italian firm, acting as tech-
pliance with the provisions of local content laws. nical adviser. This work included equipment
The Italian contractor is actively hiring Nigerian inspection at the site, as well as “relevant engi-
companies to act as sub-contractors, in line with neering and planning activities”.
the provisions of the Nigerian Content Develop- NewsBase understands that NNPC can only
ment Act, it said. proceed with similar projects to revamp its
PHRC is comprised of a 60,000 bpd unit built other two facilities at Warri and Kaduna, which
in 1965, known as Area 5, and a newer unit built have capacities of 125,000 bpd and 110,000 bpd
in 1989 which is capable of processing 150,000 respectively, once work to rehabilitate PHRC has
bpd of crude. been completed.
Tecnimont was hired on an engineering, Contracts were awarded to Italy’s Saipem and
procurement, construction, installation and subsidiary Saipem Contracting worth a total of
commissioning (EPCIC) contract worth nearly $1.485bn – $898mn for Warri and $587mn for
$1.6bn. It has already received an advance Kaduna – in August that entail a three-phase
payment of 15% of this sum, with $194mn or approach to rehabilitate the refineries over 77
70% of the total coming in US dollars and the months. ™

Ardova building LPG storage depot in Lagos

NIGERIA ARDOVA, a Nigerian petroleum product mar- Ardova’s decision to expand its LPG business.
keting company, has broken ground on a new Demand is sure to rise in the long term, he
LPG storage facility that will be the largest of its noted, since the Nigerian government’s “Dec-
kind in West Africa. ade of Gas” initiative, which aims to promote the
At a ceremony marking the start of construc- gasification of the country’s economy, involves
tion at the 8.8-hectare site in the Ijora settlement encouraging the use of LPG as fuel for cooking
in Lagos, Ardova’s CEO Olumide Adeosun said and other household uses.
that the company intended to complete the facil- The construction of the storage depot “indi-
ity and begin operations in December of this cates the direction of travel for our company, as
year. When finished, he added, the storage depot it spotlights our confidence in LPG as the fuel of
will be capable of holding 20,000 tonnes of LPG. the future in Nigeria, in congruence with both
Adeosun went on to say that Ardova was the Nigerian government’s gas expansion plan,
building the LPG storage facility partly because which seeks to make LPG mainstream at the end
of its commitment to derive a larger share of of the decade, and the present growing rate of
its total revenues from cleaner fuels. He also in-country consumer adoption of the product,”
stressed, though, that the project was part of a he commented. “Ardova’s investment in this
wider effort to transform Ardova into an inte- facility supersedes the expected commercial
grated energy company capable of offering a returns, as the company is equally focused on
wider array of products. the positive environmental and human impact
Additionally, he expressed confidence in that increased access to gas will create.” ™

Groundbreaking ceremony in Lagos (Photo: Ardova screen shot)

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