Minister of State for Petroleum Dr. Emmanuel Ibe Kachikwu has said that building a new refinery is not in the agenda of the Federal Government for now.

He said the government could only encourage people to unbundle refineries that are all over the world and bring them to Nigeria for economic purpose.
As he put it, “We are encouraging people to do so to unbundle refineries that are all over the world, which are for economic reasons being de-assembled and bring them here and set them up and run them.”

According to him, it takes an average of three to five years to build a new refinery at $2billion to $2.5billion which is too huge for government to afford.
“It takes investment of $2billion and $2.5billion and those are not monies that we can afford,” he said.

To him, unbundling refineries would prune the cost of refineries for investors, especially when they are sharing the same premises, the same power source, because power is a key element of that cost.

He maintained that adoption of this method of construction of a fairly used refinery could be take about 18 months to build and reduce the cost to below one billion dollar and bring about quicker return on investment.