Business Hilights
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ExxonMobil prefers investments in power, gas commercialization than refinery in Nigeria

Vice President of ExxonMobil America, Asia Pacific & Africa New Market, Paul Greenwood has revealed that rather than fresh investments in refinery as requested by the visiting Minister of State for Petroleum, Dr. Ibe Kachukwu, the oil conglomerate prefers to deepen commitment to help deliver power to Nigeria and support the Gas commercialization program of the Ministry of Petroleum Resources..

Responding to Kachukwu’s presentation during his visit to US, Greenwood said his company recognized the valued partnership with Nigeria and noble work of the Minister to ensure the development and growth of Nigeria’s Oil and Gas sector.

Earlier in his remarks during the meeting with top executives of ExxonMobil at the company’s corporate headquarter in the United States; the Minister commended the corporation for its enduring partnership with Nigeria over the years.

In a statement signed by the Director of Press in the Ministry, Idang Alibi, Kachukwu used the opportunity of the visit to make a case for deepening investment in the oil and gas sector by the IOCs, calling on ExxonMobil and other International Oil Companies (IOCs) operating in the country to invest in the building of refineries in the country as part of effort to reduce importation of petroleum products.

Alibi said “The Honourable Minister of State restated the efforts of the Federal Government aimed at reducing importation of petroleum products. This effort will be boosted if major IOC partners operating in Nigeria invest in building signature refineries to be run on joint venture basis with the Federal Government providing the necessary needed incentives,” part of the statement reads.

The Minister who reiterated the gains that have been made in the sector through the signing of the repayment agreement for the Joint Venture Cash Call in 2016, further clarified that the initial payments to the IOCs would be made by the end of April 2017 and that it would be expedient if the IOCs reciprocate the Federal Government’s gesture and commitment by ensuring that they ramp up investments in the country’s Oil and Gas sector.

He also encouraged ExxonMobil to invest in more practical deliveries in the area of human capital development and investment in local growth of skill sets required in the Oil and Gas sector.

The Ministry of Petroleum Resources described the meeting of the Minister with ExxonMobil as part of the ongoing investment drive initiative embarked on by the Minister to International Oil Companies (IOCs) as part of efforts to actualize the objectives of the short and medium term program, 7 Big Wins launched last year which aimed at reviving the oil and gas sector.

Business Hilights recalls that the first of such meetings was with Italian IOC giant Eni in January 2017 where the Italian Company pledged to work with Nigeria to revamp the Port Harcourt Refinery. Other IOCs scheduled to be visited during include Shell, Chevron and Total.

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