Construction work on Obat Oil Refinery is to begin soon as arrangements have been completed to ensure it meets world standards.
Speaking to our reporter recently, Oba Frederick Obateru Akinruntan said the delay of the project take off was due to some hitches which have now been taken care of. The license to build a refinery was approved in 2006 by the administration of former President Olusegun Obasanjo.
Oba Akinruntan, who is the monarch of Ugboland in Ondo State said the initial plan was to build a refinery that would produce between 60,000 to 80,000 barrels of oil per day. However, “We discovered from our extensive trips to Texas in the US, that such refineries are no longer lucrative. Those breaking even in the business are those producing between 100,000 to 120,000 barrels or more per day.”
Information from The Nation was used in this report.