Oil & Energy

NNPC To Build Condensate Refinery For Petrol Production

Published

7 years ago

May 6, 2019

The Nigerian National Petroleum Corporation is in the process of establishing a condensate refinery that is to specifically produce Premium Motor Spirit, also known as petrol.
It was learnt that the corporation had completed the feasibility studies on the refinery and the facility would utilise the huge amount of condensate in Nigeria for the production of petrol.
NNPC’s Group Managing Director, Maikanti Baru, had hinted in January this year that the corporation was working towards establishing some Greenfield refineries including a condensate refinery. He, however, did not provide details on what to expect from a condensate refinery.
But the corporation’s Group General Manager, Greenfield Refineries Department, Sanusi Usman, in a report put together by the NNPC and obtained by our correspondent in Abuja last Friday, revealed that the condensate refinery would particularly focus on the production of PMS, in contrast to what obtained in other conventional refineries.
He said: “Conventional refineries are set up to process crude oil into multiple products such as PMS (petrol), HHK (kerosene), AGO (diesel), fuel oil and others. Because you are dealing with high volumes here, you need to build different units to process and upgrade the quality of the various products.
“But in the case of a condensate refinery, the feedstock is condensate, not crude oil. And it is just one product you will get from it, which is PMS. This means that it does not need to have many units like a conventional refinery. If it is not very large, you can have the units in modular forms.”
According to Usman, Nigeria has a lot of condensates like gas in liquid form, adding that in most cases, it comes out with crude oil, “but there are some cases where we have the condensate being produced alone.
He added: “What we do in Nigeria is to blend some of our crude oil with condensate and sell. But condensate is not calculated as part of a country’s production in OPEC (Organisation of Petroleum Exporting Countries) quota. By including condensate as part of our production, Nigeria is actually losing some volumes of crude oil.”
He stated that this was the reason why the NNPC decided to establish a condensate refinery and remove that component from Nigeria’s crude oil by adding value to it locally.
Usman further explained that the other reason why the oil firm decided to build a condensate refinery was that in Nigeria the problem had always been the scarcity of PMS.
“By composition, condensate is almost like PMS; all you need to turn condensate into PMS is to do some conversion and quality improvement to upgrade it. The kind of equipment needed to do this is not going to be as expensive as the conventional refinery. That is why we settled for condensate refineries,” he stated.
On how far the corporation had gone, Usman stated that his department was already working with the Corporate Planning and Strategy Division of the NNPC to deliver the condensate refinery.
“Right now, we are working in collaboration with the Corporate Planning and Strategy Division on the condensate refineries. We have completed the feasibility studies on them and we believe that they are projects worth pursuing. We believe that with the support of the NNPC management, we can deliver on them,” he said.

Oil & Energy

REA, Mente Energy Sign MoU On Renewable Energy Localisation

Published

3 days ago

April 20, 2026

The Tide

The Rural Electrification Agency (REA) and Mente Energy Limited have signed a Memorandum of Understanding (MoU), formally launching the Renewable Energy Localisation and Industrialisation Programme (RELIP).

The programme is designed to structure renewable energy market to catalyse investment, generate skilled industrial employment and build a domestic clean-energy manufacturing base in partnership with global capital.

Speaking during the signing ceremony at the agency’s headquarters in Abuja, the Managing Director/Chief Executive Officer, REA, Abba Aliyu, said Nigeria built significant momentum in decentralised renewable energy but until now, the economic value of that deployment has largely flowed offshore.

“By organising our national demand and building the institutional architecture to support domestic manufacturing, we are creating the conditions for investment, jobs and industrial growth to take root on Nigerian soil.

“The REA is proud to lead this programme and we welcome partners – Nigerian and international – who share our commitment to building a clean-energy industrial base that serves Nigeria first,” he said.

The founder and managing partner of Mente Energy, Tolu Osekita, said Nigeria’s renewable-energy market is one of the most significant industrial opportunities of this decade.

Osekita said “What RELIP does is to put structure around that opportunity so that capital of every origin can invest here with greater confidence and at greater scale.

“Grounded in Nigeria-first principles, this is about catalysing the maximum economic opportunity for our country – factories, jobs, investment and industrial growth built on Nigerian soil, in partnership with the world.

We are proud to stand alongside the REA in leading this work”.

The MoU establishes a five-year framework for strategic collaboration – with RELIP identified as the first priority workstream am phase 1 will be delivered over approximately six months, establishing the commercial, analytical and institutional foundations required for NREIF launch and subsequent capital mobilisation.

It would be noted that Nigeria is one of Africa’s most dynamic renewable-energy markets as both the public and private sectors adoption is accelerating with millions of solar home systems, hundreds of mini-grids and growing commercial and industrial uptake.

Oil & Energy

Stakeholders Seek Unified Action To Accelerate Methane Abatement In Oil, Gas Sector

Published

3 days ago

April 20, 2026

The Tide

Stakeholders across the government, civil society and industries have called for stronger regulatory coordination and accelerated action on methane abatement in the nation’s oil and gas sector.

They made the call at the Methane Emission Abatement in the Oil and Gas Industry Regulatory Dialogue organised by the Stakeholder Democracy Network (SDN) alongside other partners, in Abuja, at the weekend

The Country Director, SDN, Mrs Florence Ibok-Abasi, insisted that fragmented regulatory approaches have slowed progress in the past, noting that the current engagement aimed to align priorities, strengthen enforcement, and build lasting institutional coordination.

“We are here to align priorities, learn from our challenges, break down silos, and build genuine coordination among all stakeholders.

“Each of you brings critical knowledge; upstream expertise, midstream insights, climate policy perspective, civil society accountability, and legislative oversight. Our strength lies in bringing these together.

“Improved inter-agency cooperation is not optional; it is the foundation for better data, stronger enforcement, and credible progress toward Nigeria’s global methane pledge. We have the talent to make this work”, she said.

Ibok-Abasi said the gathering marked a turning point in efforts to harmonise regulatory approaches, describing collaboration as critical to achieving meaningful climate outcomes.

While noting that the dialogue was the first of two, the SDN boss stated that a second dialogue would be reconvene to advance initiatives and collaboration that would ensure improvement of methane abatement in the oil and gas sector.

Also speaking, the Head, Environment and Climate Change, SDN, Dr Jude Samuelson, highlighted methane reduction as one of the fastest and most effective strategies for tackling climate change globally.

Samuelson noted that the initiative was, therefore, designed to ensure regulators and operators work hand in hand to deliver measurable results.

He, however, identified the high cost of methane abatement technologies as a major constraint, calling for stronger government-industry partnerships to make such solutions more accessible and scalable in Nigeria.

“One of the recommendations that SDN has is to see how the government can work with the operators to ensure that the operators afford these technologies.

“We are also interested in bringing some of the new technologies from methane emission abatement down to the country to see how the technologies could be deployed in the oil and gas sector to ensure that emissions reduce drastically”, he said.

Speaking from the climate policy perspective, the representative of the National Council on climate Change (NCCC), Chukwuemeka Okebugwu, said methane remained a significant contributor to global warming, particularly in oil-producing countries like Nigeria.

“The oil and gas sector is a major source of methane emissions.

“So regular dialogue helps us develop practical solutions and also identify opportunities, including converting methane into useful energy instead of wasting it,” he said.

On his part, the Chief Executive Officer of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Saudi Mohammed, highlighted the need for methane abatement.

Represented by the Technical Adviser on Health, Safety Environment and Community, Odafe Atebe, Mohammed,

described methane abatement as a cost-effective pathway for Nigeria to achieve climate goals without compromising energy security.

In his words, “Fragmented approaches will not deliver the scale of impact required. We must move beyond discussions to coordinated action across the entire oil and gas value chain”.

On his part, Senior Manager, Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Ibrahim Jilo, noted that while progress has been made, challenges remain in ensuring compliance across a diverse and evolving industry landscapNRGIe.

Jilo emphasised the importance of tailored approaches, capacity building, and sustained engagement with operators.

Representative of the Civil Society Group, Natural Resource Governance Institute, Tengi George- Kalu, who spoke from the civil society standpoint, urged stakeholders to ensure that methane reduction efforts translate into tangible benefits for communities affected by oil and gas operations.

“Collaboration is key to moving from policy ambition to real implementation and enforcement,” she stated.

Oil & Energy

NITDA, NNPC Partner To Drive Digital Transformation In Energy Sector

Published

3 days ago

April 20, 2026

The Tide

The National Information Technology Development Agency (NITDA) and the Nigerian National Petroleum Corporation (NNPC) are deepening collaboration to accelerate digital transformation in Nigeria’s energy sector.

The collaboration is being championed through the Research, Technology and Innovation (RTI) Unit of the NNPC.

In a courtesy visit by the Director, RTI Unit of the NNPC, Olatomiwa Olaniyi, to the Director-General, NITDA, Malam Kashifu Inuwa, the duo explored strategies to leverage emerging technologies to reposition the nation’s energy industry.

Speaking, NITDA boss, Inuwa, stressed the need for the NNPC to shift from traditional dependence on the exploitation of oil and gas resources to a more innovative model.

According to him, the innovative model would be anchored on the exploration of technologies such as Artificial Intelligence (AI), Internet of Things (IoT) and robotics, among other emerging technologies.

Inuwa said information technology had become a critical enabler across sectors, adding that innovation would play a key role in shaping the future of energy production, efficiency and sustainability in Nigeria.

He outlined NITDA’s strategic priorities to include promoting digital literacy, nurturing local talent, strengthening research ecosystems and advancing indigenous technology solutions.

According to him, reducing reliance on foreign technologies while encouraging home grown innovation is vital to achieving digital sovereignty and sustainable economic growth.

The NITDA boss also said the agency would support NNPC in developing a robust innovation pipeline to connect the company with Nigeria’s growing startup ecosystem.

He said startups would be engaged through incubation programmes and innovation challenges to develop practical solutions tailored to the oil and gas industry.

Inuwa further scored that NITDA’s initiatives aimed at fostering innovation among young Nigerians, including members of the National Youth Service Corps.

“Many of our corps members are already creating solutions to real-world challenges through the agency’s programmes,” he said.

Inuwa also said that effective implementation of the Nigerian Startup Act would be crucial in supporting emerging technology ventures and scaling ideas into commercially viable solutions.

Earlier, Olaniyi said the engagement was aimed at co-creating solutions and building a strong partnership framework to accelerate innovation across the energy value chain.

He emphasised that collaboration among government agencies, industry players and the technology ecosystem remained critical to achieving sustainable innovation.

Presenting the mandate of the RTI Unit, he said its focus was on driving excellence through innovation.

According to him, this would lead to improved operational efficiency, enhanced revenue generation and support sustainable growth across NNPC’s businesses, including upstream, gas, power and new energy.