Nigerian refiners advocate for reinvestment of oil windfalls into domestic refining capacity
via Punch Nigeria1 hour ago2 min read
The Crude Oil Refiners Association of Nigeria CORAN has urged the Federal Government to reinvest oil windfall revenues into strengthening local refining capacity, emphasizing that domestic refining is now a strategic necessity. According to CORAN spokesman Eche Idoko, the ongoing crisis in the Middle East has led to increased national revenues due to higher crude prices, despite also raising pump prices for petroleum products. The association highlighted that existing local refining capacity, supported by the Dangote Refinery and modular refineries, has helped retain value within the Nigerian economy by reducing reliance on imports and subsidies. CORAN proposed establishing a domestic refinery development fund to support new and existing refinery projects, as well as infrastructure development. The association also noted that indigenous producers like EOP Energy Resources Ltd, Pillar Oil Limited, Inejeshia Nigeria Limited, and Millennium Oil & Gas Company are already supplying crude to local refineries. CORAN called for targeted incentives, including access to rigs, technical support, single-digit financing, and priority access to logistics. They also stressed the importance of enforcing the domestic crude supply obligation with transparent pricing and fair commercial terms, and urged policies to protect local refining capacity by prioritizing locally refined products and reducing import dependence. CORAN concluded that strategic investment in the refining sector will stabili
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