The recent commissioning of Oando Plc’s , mid- stream Jetty in Apapa, Lagos is set to drive out constraints often associated with the discharge of petroleum products, within the Apapa corridor and save $120 million in demurrage annually.
Industry pundits say the Apapa corridor jetty operators suffer a yearly demurrage of over $120m.
The jetty recently berthed its first cargo following statutory checks; the MT FALCON NOSTROS, a 22,000MT cargo vessel with product discharge lasting for two days in line with design parameters, and validates the jetty project with regards to overall design, integrity of the jetty platform, pipelines, integrated systems and resulting operational efficiency.
Responding to issues during an interactive session, the Chief Executive Officer of OVH Energy, Oando’s Downstream licensee, Mrs. Olaposi Williams said, “This maiden vessel is further proof that the Jetty’s entire integrated product discharge and receipt systems can support requisite operational rigours”.
“This remarkable milestone heralds the next phase of planned activities which include; completion of pipeline connection to various terminals in line with communicated connection plans, commercial contracting with MOMAN and other customers as well as an upgrade and development of Terminal 1 and the Marshalling Yard”.
He said “With 70 percent of Nigeria’s domestic petroleum products demands being met through petroleum importation and about 2.5 trillion spent on the importation of refined petroleum products in 2016, according to data from the Nigerian Bureau of Statistics (NBS), making it the 7th largest petroleum importer in the world, the novel idea by Oando will provide a more efficient platform for product receipt to all marketers currently using the Major Oil Marketers Association of Nigeria (MOMAN) jetty”.
The new jetty has a half-kilometer subsea pipeline, and a 16” 3km onshore line is capable of delivering over 3 million tonnes a year.
