Nigeria-based Badagry Petroleum Refinery has signed a joint venture financing agreement with Eton Finance of Singapore, to build a new $1.95bn oil refinery in the country.
The agreement will help Badagry Petroleum to build and operate a Greenfield refinery in the Ipokia local government area of Ogun State.
The construction of the new refinery is aimed at improving the country's crude oil refining capacity by 100,000 barrels per day, reported PUNCH.
Nigeria's new refinery will be able to process imported crude oil and crude oil blends from the country and produce bitumen, diesel, grease, heavy fuel oil, jet fuel, kerosene, liquefied petroleum gas, lubricating oil, and petrol.
The project received Approval in Principle in 1993, however it was delayed due to various interruptions.
The formalities regarding the financial and administration aspects are expected to be achieved in the next two to four months time, while the fabrication and construction work for the facility is planned to start in the middle of 2013.
Construction is expected to take 24 months to 30 months to complete.
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