Vandalism: KRPC seeks alternative crude oil supply

The Kaduna Refining and Petrochemical Company has sought for an alternative in transporting crude oil to the refinery over the worrisome activities of vandals along the Warri-Kaduna pipelines. According to the company, the Federal Government will save over $5.33 million daily from fuel importation when the company hits 90 per cent production in 2016. Speaking […]

The Kaduna Refining and Petrochemical Company has sought for an alternative in transporting crude oil to the refinery over the worrisome activities of vandals along the Warri-Kaduna pipelines.
According to the company, the Federal Government will save over $5.33 million daily from fuel importation when the company hits 90 per cent production in 2016.
Speaking when he led a team of journalists on a facility tour of the refinery, the Managing Director, Engineer Saidu Aliyu Mohammed advocated that the company’s pipelines be tagged as ‘military zone’ in order to prevent vandals from breaking the line.
 “Our major challenge is getting the crude oil to Kaduna, is not that there is no crude oil, but how to get it to Kaduna is our major headache Nigeria over the years has evolved to see people who are interested in nothing but ensuring they take from anything that belong to the government, one way or the other, people will hack the lines, set up their local refineries by the pipelines.
He said there is a lot to know about this refinery, because it is a unique refinery that cannot be seen in any other place, it is a three in one refinery and has the capacity to produce products that cannot be produced anywhere in Nigeria particularly, the heavy base oils, we also have petro chemicals that are being produced only in this refinery.
 “The company which has 110,000 barrels per day installed capacity, is currently operating at about 60 per cent output, with two production equipment restored after undergoing local maintenance and we hope release about five million litres of locally refined fuel at the end of March 2016 when the maintenance is completed, thereby cutting the cost of fuel importation by the Federal Government.
“Government will save $1.892 million daily on importation of Premium Motor Spirit, also known as petrol, when it hits the 90 per cent production target in 2016 and at the same 90 per cent output, KRPC will save $672,546 daily on importation of Kerosene and $1.86 million daily on the importation of diesel.
 “The company will also save $176,727 daily on importation of LPG and $727,306 daily on importation of Fuel Oil. These represent a total savings of $5.33 million daily for fuel products only, we also expected to produce about 4.6million litres of PMS at 90 per cent capacity in 2016,” he said.