President Muhammadu Buhari has sanctioned the acquisition of 20 per cent stake in any private oil refinery producing at least 50,000 barrels per day (bpd) by the Nigerian national Petroleum Corporation (NNPC).
The NNPC has made arrangements to secure 20 per cent stake in the $19.5 billion Dangote Refinery in Lagos. It has a capacity for 650,000 bpd.
The Nation reports that its stake will enable the private refineries to easily secure crude from the market.
It quoted a top source as saying: “The President directed that any investor building a refinery of 50,000 barrels per day in Nigeria, will allow the NNPC to acquire a minority share of not more than 20 per cent.
“He gave the directive to safeguard the nation’s energy security.
“The presidential approval did not focus on any specific refinery. The minority share applies to all refineries beginning with those producing at least 50,000 bpd. This is not about any tribe or religion, it is about investment.
“The overall objective is to encourage more investors to come to the sector to put an end to Nigeria’s dependence on imported petroleum.
“The government’s minority stake will boost investors’ confidence in oil refinery.”
