• Monday, July 15, 2024
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Edo refinery orders 150,000 barrels of oil from Oza field to meet demand

Edo refinery orders 150,000 barrels of oil from Oza field to meet demand

The Edo State government-backed Edo Modular refinery has ordered the supply of 150,000 barrels of crude to meet the demand of its growing clientele base, weeks after commencing production.

This was revealed in a statement signed by the Special Assistant on Media Projects to the Edo State Government, Crusoe Osagie, on Sunday.

The statement also said that the crude would be sourced from the Oza Oil Field, which is operated by Decklar Resources Inc and Millenium Oil and Gas Company Limited.

The Edo Refinery is a 6,000bpd capacity plant, which is being expanded to 21,000bpd. The facility with its feedstock can produce 500,000 litres of diesel, 300,000 litres of Naphtha and 200,000 litres of low-pour fuel oil, the statement said.

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The Chief Executive Officer of Decklar Resources Inc., Sanmi Famuyide, in the statement, said “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.

“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.

“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 modular refinery commenced production in January with its first supply of 10,000 barrels of crude feedstock.