The Edo Refinery and Petrochemicals Company Limited (EPRC) has ordered the supply of 150,000 barrels of crude oil to meet the demand of its growing clientele base.
The Edo state government made this known in a statement by Crusoe Osagie, its special assistant on media projects, on Sunday.
It said the crude would be sourced from the Oza oil field, an onshore conventional field, on dry terrain, in the northwestern part of oil mining lease (OML) 11, approximately 30 kilometres south-west of Port Harcourt which is part of Abia state.
The oil field is operated by Decklar Resources Inc. and Millenium Oil and Gas Company Limited.
Advertisement
“Decklar and Millenium are at an advanced stage of executing a new 150,000 bbls crude oil sale and purchase agreement with ERPC, which is expected to include terms for invoicing and payment after the delivery of each cargo of 10,000 bbls of crude oil,” the Edo government quoted Sanmi Famuyide, chief executive officer (CEO) of Decklar Resources Inc., as saying.
“We are very pleased that payments for the sale of crude oil from the Oza field continue to be received.
“Deliveries to ERPC in Edo state are ongoing on a consistent basis, and the anticipated doubling of the contracted truck fleet is expected to enable the company and our co-venturer, Millenium, to increase the volume and consistency of deliveries of oil to market.
Advertisement
“The additional trucking capacity is also expected to create opportunities for additional delivery of crude oil to other potential customers in the near term.”
The Edo refinery is a 6,000 barrels of oil per day modular refinery located in the Ikpoba-Okha local government area of the state.
It was constructed by two Chinese firms: AIPCC Energy Limited and Peiyang Chemical Equipment Company Limited.
According to the companies, the refinery project is executed in two trains of 1,000bpd and 5,000 bpd, selling refined products such as diesel, naphtha, and low pour fuel oil (LPFO).
Advertisement
It is expected to produce 50 percent of diesel (500,000 litres), 25 percent of naphtha (300,000 litres) and 20 percent of fuel oil (200,000 litres) from its feedstock.
The modular refinery commenced production in January with its first supply of 10,000 barrels of crude feedstock.
Add a comment
