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NNPC, Daewoo Sign MoU On Kaduna Refinery Rehabilitation 

Officials of DAEWOO on the left, the group chief executive officer of NNPCL, , Mele Kyari and the minister of State for Petroleum Resources, Timipre Sylva on the extreme right, during the signing of thee MOU in South Korea

 

President Muhammadu Buhari Thursday in Seoul, South Korea, expressed delight as he witnessed the signing of the Memorandum of Understanding (MoU) between Nigerian National Petroleum Company (NNPC) Ltd and Daewoo Group of South Korea for the rehabilitation of the Kaduna refinery

The President was particularly excited as the signing came against the back of ongoing rehabilitation works at Warri refinery by same Daewoo Group which will at the first instance, deliver fuels production before the first half of 2023.

A spokesperson for President Muhammadu Buhari, Femi Adesina  said in a statement that the agreement was signed on the sidelines of the 2022 World Bio Summit on Thursday in Seoul, South Korea. Mr Buhari is attending the summit.

According to the Nigerian leader, “Daewoo Group has massive investments in the automobile, maritime and other sectors of our economy. I am also aware that Daewoo is currently engaged in the execution of the NLNG train seven project and also constructing sea-going LPG vessels for NNPC and her partners.”

He said he looked “forward to the delivery of ongoing projects, especially at the Warri and Kaduna refineries, and the NLNG Train Seven,” stressing that “This no doubt will open many more windows of opportunities for Daewoo and other Korean companies in Nigeria.”

“I thank you for your faith in Nigeria,” President Buhari told the Korean conglomerate at the end of the significant ceremony on the last day of his visit to the Asian country to attend the First World Bio Summit.

The 110,000 bpd-capacity Kaduna Refinery is one of Nigeria’s four dysfunctional refineries that have produced no fuel for years leaving the country to rely on imported products. It recorded a N22.9 billion loss in 2021.

The biggest state-run refinery, which is Port Harcourt, is currently undergoing repairs handled by Tecnimont of Italy. The government says it expects the plant to start production by December, although a PREMIUM TIMES review showed that is unlikely.

The Federal Executive Council in August last year approved the award of the contract for the rehabilitation of Warri and Kaduna Refineries at the combined total sum of $1.5 billion.

Adesina said Daewoo is also repairing the Warri plant which will at the first instance deliver fuel before the first half of 2023

 

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