4th September 2012
Today, Qua Petroleum Refinery Ltd has executed a Joint VentureFinancing agreement with Niger-Delta Refinery and Petrochemicals
Company Ltd, a subsidiary of Eton Finance Private Ltd and part of the
Eton Group of Companies to finance, construct and operate a 100,000
bbl/day Greenfield complex refinery at Ibeno Local Government area,
Akwa Ibom State, Nigeria.
The execution of the agreement was carried out by Mr Essien Asuquo
Ekanem, representing Qua Petroleum Refinery Ltd and Mr Allan Rennie,
Managing Director of Niger-Delta Refinery and Petrochemicals Company
Ltd and a director of Eton Finance Private Ltd.
The financing by the Eton Group is for $1.7 billion (Naira 270 billion)
being $1.4 billion (Naira 222 billion) for the re-engineering and
construction of this export designated refinery for Qua Petroleum
Refinery Ltd, with another $300 million (Naira 47.7 Billion) for start up
and operations and feedstock. The financing is in the form of Joint
Venture Funding with both companies working together to realise the
goals of the project.
The refinery project which has been waiting funding since 1996 will
complete financial and administrative formalities within the next two
months, and move to re-engineering and approvals for fabrication and
construction phases before the end of 2012. Following DPR approvals,
the construction period is expected to last for 18 to 24 months, with first
production scheduled for late 2014/early 2015, depending also on
Federal Government support.
The state of the art refinery is expected to produce up to 750 direct jobs
with another 4,000 to 7,000 jobs created externally in support functions.
The planned location for the refinery, which has already been secured, is
ideal in respect of local feedstock supplies of crude oil and the proximity
to the sea for import/export purposes. The refinery will be modern, state
of the art with the ability to process crude oil and crude oil blends from
Nigeria, and most of the crude exporting countries.
The refinery has a design capability to produce: LPG, Petrol, Kerosene,
Diesel, Heavy fuel oil, Lubricating oils, Greases and Bitumen. Housing,
amenities and infrastructure are being provided for the workers.
Negotiations for the funding have taken five months, with advice from
several local banks. Both Niger-Delta Refinery and Petrochemicals
Company Limited and Qua Petroleum Refinery are delighted to be able to
work together on this Joint Venture Funding which is expected to lead to
the first full scale private refining complex in Nigeria
Eton Group is headed by Eton Finance Private Ltd, of Singapore, a
private finance company that specialises in financing larger
infrastructural and commercial projects for governments, states and
corporations around the world under PFI, BOT, PPP and personalised
funding variants for highways, railways, ports, airports, power projects,
oil and gas projects, etc. The Eton Group is represented in USA,
Malaysia, Japan, UK and Nigeria. The Nigerian representation is through
Niger-Delta Refinery and Petrochemicals Company Ltd in which Eton
Finance has a majority shareholding.
Source: soso connect.com
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