Nigeria, China sign $23 bn refinery deal

Nigeria, China sign $23 bn refinery deal

Abuja: Nigeria and a Chinese state firm have signed a $23 billion deal to build three refineries and a petrochemical complex in Nigeria, a world’s major oil exporter, an official statement said Friday.

Nigerian National Petroleum Corporation (NNPC) and China State Construction Engineering Corporation Limited (CSCEC) signed the deal Thursday to jointly seek $23 billion in financing and credits from the China Export & Credit Insurance Corporation and a consortium of Chinese banks for the projects.

“NNPC aims to accelerate the construction of new refineries in Nigeria to stem the flood of imported refined products into the country, currently estimated at $10 billion," an NNPC statement said.

CSCEC wants to “expand its presence on the African continent and establish its footprint firmly in the Nigerian oil and gas landscape," the statement said.

The refineries are expected to add some 750,000 barrels per day capacity in Nigeria and position NNPC in the international trading of refined petroleum products, it said.