Why We Set Up First Of Its Kind $400m Crude Oil Terminal In Rivers – Prof Adegbulugbe

The Chairman of Green Energy International Limited (GEIL), Prof. Anthony Adegbulugbe, has disclosed that the firm’s constitution of the archetypal indigenous $400 cardinal onshore lipid Otakikpo Terminal successful Rivers State volition play a important relation successful the lipid and state manufacture successful Nigeria.

According to the Chief Executive Officer of GEIL, the Otakikpo Terminal is simply a task whose clip has come—the terminal results from a two-year concern aft 50 years of relying connected those built by foreigners.
Adegbulugbe stated this during an interrogation with prime journalists successful Abuja. He added that the terminal volition conscionable expectations and alteration the lipid and state manufacture narrative.

With the completion of the terminal, President Bola Tinubu is expected to inaugurate the installation successful owed course.

Speaking connected the uniqueness of Otakikpo Terminal, the Green Energy brag said, “The full thought is simply a task whose clip has come. Right now, we person an ageing web of export infrastructure that has been a limiting origin to lipid accumulation successful Nigeria.

“We person enactment successful spot a modular installation of 750,000 barrels retention capableness that is expandable to 3,000,000 barrels, and we are moving with applicable stakeholders to support signaling successes”.

Adegbulugbe further disclosed that the terminal volition pull 4 investors, promoting the lipid sector’s affirmative development.

He said, “The Otakikpo terminal, which is the newest, is catering for 4 sets of E and P companies. The archetypal acceptable is those who person tiny reserves acold distant from the lipid export infrastructure pipeline, and they can’t spend to physique a pipeline due to the fact that of the tiny reserves”

“This clip around, they person a solution done a trucking option. That is, they tin motortruck 1,000-1,500 barrels into our terminal. We person an fantabulous roadworthy web for getting to the terminal. So, if you are astir 50 kilometres oregon thereabouts, you tin travel to Otakikpo terminal.

“Then, different acceptable of companies has fields astir creeks wherever they can’t bash immoderate trucking, but they tin bash barging. Again, we cater for those successful that category. They tin barge oregon adjacent aggregate and travel to wherever we telephone kilometre 6 due to the fact that we already person a pipeline from our tract to 6 kilometres offshore, and it is simply a bi-directional, which we are utilizing close present for our export arsenic we tin crook it around”.

“You tin bring your barge to kilometre 6, pump your lipid onshore and from onshore it goes straight into our terminal. So that again gives succour to those fields, and determination are truthful galore of them”.

“The 3rd acceptable of Investors are those with fields 20 kilometres offshore. One of the mitigating factors for them erstwhile exporting is that they whitethorn not person capable superior to facilitate the required facility. Again, we person a 23-kilometre bi-directional pipeline offshore”.

Adegbulugbe further said, “They tin person a smaller vessel, nutrient and travel to kilometre 23 and pump again onshore, and they tin export

The 4th acceptable is the companies wrong 40 kilometres of us. Even if they person capable wealth for the required infrastructure, determination is theft. They nutrient a 100 barrels and sometimes get paid astir 80% with a 20% loss, which is impacting their bottommost line. Again, we connection a solution. “

Regarding the information strategies implemented, the GEIL brag disclosed that the pipelines are designed successful 3 phases.

He said, “All the pipelines coming to america are designed to beryllium three-phase, multipurpose solutions. That is, you springiness america your oil, springiness america water, springiness america your gas. Gas successful that pipeline is comparatively harmless from vandalism, truthful we connection that solution.”

“So you are definite that if you bring your 1 100 barrels to our terminal, you tin get paid for 100 barrels. This is the benignant of enactment we are bringing to the table”.

It is instructive to enactment that until the extremity of March 2025, Nigeria had 5 large-sized onshore crude lipid terminals, each with the capableness to pump 300,000 barrels of lipid per time into seaborne export proscription units.

The terminals see the Bonny terminal, built by Shell Petroleum and present operated by Renaissance Africa Energy Limited; the Qua Iboe terminal, built by Mobil Producing and present operated by Seplat Energy; the Brass Oil River Terminal, built by Nigerian Agip and present operated by Oando; the Forcados terminal, built by Shell Petroleum and present operated by Renaissance Africa Energy Limited; and the Escravos terminal, constructed and operated by Chevron.

For the record, these 5 terminals export astir 50 per cent of Nigerian crude lipid condensate. They were built by multi-nationals implicit 50 years agone to person crude from fields operated by these firms and export it to overseas markets.

The improvement explains wherefore GEIL’s constitution of Ota...