VFuels LLC Partners with ARG to Develop Modular Refinery in Nigeria

VFuels LLC, a leading modular oil and gas design, engineering, and fabrication company, is excited to announce it has been appointed by  African Refinery Group Ltd (ARG) in Joint Venture Partnership with Nigerian National Petroleum Company (NNPCL) to develop a new 100,000 bpd refinery collocated within the existing Port Harcourt Refinery complex at Eleme in Rivers State (PHRC).

African Refinery Port Harcourt Limited (ARPHL) is the NNPCL-ARG jointly owned project company that will produce Gasoline, Diesel, Jet A-1 and other products to Euro-5 specifications. ARPHL will be developed in multiple modular phases with the construction groundbreaking of the first 60,000bpd (Phase 1a) scheduled for the 4th quarter of 2024.

This phased modular approach offers several advantages, including continuous production during expansions, streamlined supply chain integration, and reduced project risks.

The strategic benefit of the JV partnership between ARG and NNPCL include sharing  existing PHRC infrastructure, access to crude oil feedstock through the existing and proposed Bonny-Port Harcourt crude oil pipeline that supplies crude oil to PHRC, as well as benefiting from NNPCL’s decades of experience in the production and trading of refined petroleum products in Nigeria.

VFuels LLC has commenced the Front-End Engineering Design (FEED) for both the Inside Battery Limits (ISBL) and Outside Battery Limits (OSBL) of the refinery, which is also being carried out in phases. We estimate that the FEED for the first 60,000bpd (Phase 1a) will be completed in time for the scheduled groundbreaking ceremony.

Cody Summerhays, US Director of VFuels LLC, expressed his enthusiasm for the partnership, stating, "We are thrilled to collaborate with ARG and NNPCL on this Important project. This partnership aligns perfectly with VFuels’ mission to provide innovative, modular solutions to the global energy market. We are confident that our expertise in modular design and engineering will contribute significantly to the successful development of this refinery."

Bolaji Adebajo, Group CEO of ARG, echoed Summerhays' sentiments, adding, "This partnership with VFuels LLC is a further testament to our commitment alongisde NNPCL to drive the Federal Government of Nigeria’s goal for an energy independent Nigeria. We believe that this project will not only boost  our country's domestic fuel supply but also tip the scale towards becoming a net exporter of petroleum products”.