• Wednesday, May 29, 2024
businessday logo

BusinessDay

NCDMB gets N450m dividend from Waltersmith Modular Refinery

NCDMB gets N450m dividend from Waltersmith Modular Refinery

The Nigerian Content Development and Monitoring Board (NCDMB) has received an interim dividend payment of N450 million from the Waltersmith Refinery and Petrochemical Company Limited, which is part of the N1.5 billion dividend declared by the company.

According to a statement released by the local content development agency, the payment represents NCDMB’s 30 percent share in Waltersmith for 2023.

The NCDMB had initially invested $10 million in 2018 to acquire a 30 percent stake in the 5000 barrels per day (bpd) modular refinery project located in Ibigwe, Imo State. This investment was made to support the Federal Government’s policy on modular refineries, stimulate investment, and create employment opportunities.

Following a board meeting of Waltersmith Refinery and Petrochemical Company Limited, Felix Omotsola Ogbe, the executive secretary of NCDMB, confirmed that a total dividend of N4.5 billion had been approved for the year 2023, pending final approval at the Annual General Meeting (AGM). The company reported a total profit of N23.6 billion as profit after tax for the same year.

Ogbe stated that NCDMB expects to receive an additional 30%of the outstanding N3 billion dividend after the convening of the AGM later this year. He also mentioned that the receipt of this interim dividend payment is a testament to the strong performance and profitability of Waltersmith Refinery and Petrochemical Company Limited.

He expressed NCDMB’s pride in being a part of this success and looks forward to continued collaboration with the company in the future.

Ogbe affirmed that the company is upscaling the refinery capacity from 5000 bpd to 10,000 bpd, and the expansion project is 44% completed and on track to be commissioned by early 2025.

NCDMB’s investment in the Waltersmith project was aimed at catalyzing the industrialization of the Nigerian oil and gas industry, deepening Nigerian Content, and serving as a successful model for future investments.

Additionally, NCDMB recently received a $1 million cheque from Nedogas Development Company Limited (NDCL), which is part of the return on investment (ROI) on one of the Board’s strategic investments.

The cheque was presented by the Chairman of NDCL, Emeka Ene, during his visit to the Nigerian Content Tower in Yenagoa, Bayelsa State, where he was received by Ogbe, and other members of the Board’s management.

NDCL is a joint venture between Xenergi Limited and NCDMB Capacity Development Intervention Company, and it resulted in the construction and commissioning of a 300 MMscfd Capacity Kwale Gas Gathering (KGG) and injection facility located near Kwale in Delta State, Nigeria.