Business
Varsity’s Refinery Project Suffers Funding Setback
The Ahmadu Bello University (ABU), Zaria is making efforts to establish conventional and standard locally-built refineries in Niger Delta to boost the nation’s refinery capacity, but the project is stalled because of lack of funding.
The Team Leader, ABU Refinery Project, Prof. Ibrahim Mohammed-Dabo, made the disclosure in an interview with newsmen in Zaria, Kaduna State.
Mohamed-Dabo, a professor of Chemical Engineering said: “Our ultimate goal is to have a conventional and standard locally-built refinery that can be refining Nigerian crude.
“We are hoping if enough funding is made available to us to perfect what we have on ground; we shall be willing to build other ones that can be stationed in the Niger Delta.
“This is where most of the Nigerian crude oil is produced. When new ones are built, we are going to train operators that will manage them,” he said.
He recalled that the ABU mini refinery project started in 2011 when he wrote a research proposal to the university management for onward delivery to Tertiary Education Trust Fund (TETFUND) for funding.
“In monetary terms, the initial stage of the project was proposed to cost N18 million but to our surprise, only N1.8 million was approved for the project.
“We initially wanted to abandon the project because the amount approved was so small, but being very passionate about it, we started the design and fabricated some components with that meagre amount.
“Actually, it reached a stage that we had to use our personal money for the project. When we started installation at the site, we invited the university management to the site and they were very happy.
“On appreciating what was done, the then Vice-Chancellor pledged that the university was going to support the project which they did by providing land, security, light and water,” Mohammed-Dabo said.
He added that dedicated staff were employed purposely for the project, stressing that since then, the university had been very supportive.
“As you know, refinery is made up of many units; the first unit to be put in place in any refinery are the desalting and crude distillation units”, achieved was solely sponsored by the ABU management toward ensuring the success of the project.
On present state of the refinery at ABU, Mohammed-Dabo said three units have so far been completed.
“As I have mentioned earlier, presently the refinery has completed three units which are the desalting unit, atmospheric and vacuum distillation units.
“We are equally working on four of five other units which we hope before the fourth quarter of this year, we will commission them, God willing.
“Building any technology is capital intensive; talk less of oil refining technology. It involves many trials before perfection.
“There is the need to improve upon what has already been built and this involves money. We have been making efforts in this regard but up till now no funding secured yet,” he said.
Mohammed-Dabo said they have approached PTDF, Ministry of Niger Delta Affairs, TETFUND and the Nigerian Content Development and Monitoring Board (NCDMB) without much success.
He, however, said the good news was when the NNPC GMD visited the refinery. The GMD, Maikanti Baru promised to support with crude supply.
“Again, last month we participated at the just concluded Nigeria International Petroleum Summit in Abuja where we showcased our project.
“The Minister of State Petroleum Resources, Dr Ibe Kachukwu visited our exhibition booth and he was highly impressed with our efforts.
“In view of what he saw, he promised to support the project. We have submitted our proposal hoping to hear good news from him,” he said.
The professor said what was interesting during that summit was that many investors were willing to partner with his team, but said the team have to improve their technology before agreeing to engage private investors.
The team leader appealed to the federal government to support the refinery project.
“It is truly shameful that we are an oil producing nation but rely on importation of refined products.
“Government has a role to play to develop this technology. Anywhere in the world, developing technologies is the responsibility of government.
“It is only when it has reached a certain stage that private investors will come and partake. Nigeria is blessed with both human and material resources,” he noted.
He stressed the need for concerted efforts to judiciously utilise the country’s abundant resources, saying that any country that wanted to develop technologically must try and develop technologies of its manufacturing sector.
Mohammed-Dabo observed that Nigeria would never be self-sufficient or secured as long as it relies on foreign countries for technology.
The Minister of State for Industry, Trade and Investment, John Enoh said this at the 8th annual induction and conference of the Chartered Institute of Project Managers of Nigeria (CIPMN).
He explained that abandoned projects continue to lock up public funds that could have been used for infrastructure development, industrial growth, job creation and essential social services.
Represented by the ministry’s Permanent Secretary, Chris Osa Isokpunwu, he said the impact goes beyond financial losses, as incomplete projects affect communities and limit access to important public services
He cited examples of that remain unopened, schools that cannot accommodate students, roads that fail to connect communities and electricity projects that have not delivered their intended benefits.
The Registrar-General and Chief Executive Officer of CIPMN, Henry Ifeanyi Mbadiwe, also identified poor project management as a major challenge affecting development in Nigeria.
He revealed that the institute had developed a project management curriculum for Nigerian universities, which has received approval from the National Universities Commission (NUC). The programme is expected to enable universities to offer project management as a bachelor’s degree.
Mbadiwe further referenced findings by the Presidential Projects Assessment Committee, which identified 11,886 ongoing federal capital projects in 2011, with an estimated financial commitment of ?7.78 trillion.
He noted that inadequate planning, supervision, accountability and implementation were among the factors contributing to the abandonment of projects across the country.
The minister called for stronger project management structures across ministries, departments and agencies to improve planning, monitoring and evaluation.
He added that the Federal Ministry of Industry, Trade and Investment had introduced a 90-day implementation reporting cycle to strengthen transparency and monitor the progress of government programmes.
Ikenga said the company remained committed to Nigeria’s power sector and would continue investing in its operations despite the challenging business environment.
He spoke in Lagos at the third edition of the Shell Power Conference, themed “Powering Nigeria’s Progress: Turning Ambition and Action into Sustainable Impact”.
The Transcorp Power chief said the company would sustain electricity generation, invest in its facilities and deliver value to shareholders.
“Transcorp Power is a long-term player, not a short-term player. This year has been challenging, but what is important is getting power to schools, hospitals and businesses to power progress,” he said.
Ikenga said the company’s focus on operational efficiency and investment had strengthened its contribution to Nigeria’s electricity supply.
He disclosed that since acquiring the Ughelli Power Plant in Delta State in 2013, Transcorp Power had quadrupled its available generation capacity.
He also said the company became the first privatised power generation firm to receive a post-privatisation discharge certificate after fulfilling all its privatisation obligations.
The company’s unaudited results for the nine months ended September 30, 2026, showed a profit before tax of N83.1 billion, while its profit-before-tax margin rose to 31.2 per cent from 29.6 per cent recorded in the corresponding period of 2025.
Its total assets rose to 11.7 per cent amounting to N629.5 billion, while shareholders’ funds grew 8.9 per cent to N199.8 billion. Cash and cash equivalents also rose to N10.3 billion, supported by improved collections.
On the company’s contribution to grid stability, Ikenga said Transcorp Power’s black-start capability enabled it to restart operations without relying on electricity from the national grid.
He explained that the capability allowed the company to support power restoration following grid disturbances, helping to restore electricity supply to homes, businesses and industries.
Ikenga noted that Nigeria had an installed electricity generation capacity of about 13,000 megawatts, with an estimated potential of 50 gigawatts, adding that realising the potential would require effective coordination across the entire value chain.
“Everything in the value chain has to work,” he said.
He called for stronger collaboration among federal and state governments, regulators and private-sector operators, alongside increased private investment, to build a sustainable electricity market.
This was contained in a statement issued on Thursday by his Senior Special Assistant on Communications and Press Secretary, Maryann Duke.
The statement said Oyedele pointed to “improved digital systems, including electronic invoicing, as a key driver behind a record of N33tn in government revenue collected between January and October 2026.”
The minister said the performance demonstrated the potential of technology to improve revenue administration, strengthen compliance and increase efficiency across government institutions.
Speaking on the theme, ‘Digital Sovereignty and Ethics: Guarding the Economy for the Next Generation,’ Oyedele warned that Nigeria risked losing substantial economic opportunities if it continued to depend heavily on foreign digital infrastructure.
Citing Nigerian Communications Commission figures, he disclosed that the country recorded more than 157 million active internet subscriptions as of May 2026.
He explained that these connections generated significant volumes of information through financial transactions, healthcare, education and taxation.
However, citing estimates from the Nigeria Data Protection Commission, Oyedele said as much as 90 per cent of the country’s data was hosted abroad.
According to him, the situation has implications for foreign exchange expenditure, employment opportunities, technological skills and Nigeria’s control over information generated by its citizens.
He compared the country’s reliance on foreign digital infrastructure with its historical dependence on imported refined petroleum products, warning against a situation where Nigerian data would be processed abroad and the resulting services sold back to domestic users.
The minister consequently advocated greater investment in local data infrastructure, technical expertise, cybersecurity and predictable regulations to enable Nigerian businesses to capture more value from the digital economy.
He clarified that digital sovereignty should not translate into technological isolation but should strengthen Nigeria’s capacity to participate competitively in international markets.
Addressing graduating students, Oyedele urged young Nigerians to become developers of technological solutions rather than remain primarily consumers of products created elsewhere.
He identified artificial intelligence as both a disruptive force and an opportunity for innovation, advising graduates to acquire relevant digital skills alongside critical thinking, creativity, sound judgement and integrity.
The minister also cautioned against irresponsible online behaviour, explaining that digital footprints increasingly influence employment prospects, commercial relationships and professional credibility.
Oyedele outlined five priorities for graduates, including continuous learning, value creation, integrity, responsible digital citizenship and active participation in national development.
“Your degree is evidence of what you have learned. Your competence will demonstrate what you can do. Your character will reveal who you truly are,” he told the graduating students.
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