The Abia State Government is set to commence the construction of a 10,000-barrel-per-day (bpd) modular refinery in May 2025.
This initiative is part of the state's broader strategy to harness its oil and gas resources, particularly in the Ukwa West Local Government Area, and to drive industrialization within the region.Governor Alex Otti announced that the refinery will be situated within the Abia Industrial Innovation Park (AIIP) in Owaza, a community known for its oil-rich deposits. The AIIP is envisioned as a hub for industrial activities, including petrochemical and fertilizer production, aimed at transforming the state's economic landscape. Governor Otti emphasized that the establishment of the refinery aligns with his administration's commitment to revitalizing the Ukwa region and addressing historical underdevelopment.
The modular refinery project is expected to generate approximately 2,000 direct jobs, with additional indirect employment opportunities anticipated as the facility becomes operational. This development is poised to contribute significantly to the state's revenue base and reduce its reliance on imported refined petroleum products. Furthermore, the project is anticipated to stimulate local businesses and attract further investments to the region.
The Federal Government has approved the establishment of the modular refinery, with H.I.S. Refinery and Petrochemical Company Limited designated as the project developer. Governor Otti assured that the state government would provide full support to ensure the timely completion and success of the project.
In conjunction with the refinery project, the state government is undertaking infrastructure improvements, including the reconstruction of the 11.1-kilometer Obehie-Umudobia-Owaza road. This road project is expected to enhance accessibility to the AIIP and further stimulate economic activities in the region. Governor Otti highlighted that these infrastructure developments are integral to unlocking the economic potential of the area and improving the quality of life for its residents.
The commencement of the modular refinery construction marks a significant step in Abia State's efforts to leverage its natural resources for sustainable economic development. As the project progresses, it is anticipated to play a pivotal role in the state's industrialization agenda and contribute to the broader goals of energy security and economic diversification in Nigeria.