Ondo state government has concluded plans with Backbone Infrastructure Nigeria Limited (BINL) to construct and operate a 500,000 barrels per day (bpd) oil refinery at the Sunshine Industrial Park in Ogboti, Eruuna, and the Sunshine Free Trade Zone (FTZ), located in Ilaje Local Government Area of the State.
In a statement on Wednesday, the company said Ondo State Government was represented by the State Development and Investment Promotion Agency (ONDIPA).
The refinery is expected to cost $15 billion, with the first phase scheduled for completion within 48 months.
BINL also disclosed that it is exploring a partnership with the Nigerian National Petroleum Company Limited (NNPC Ltd.) to support the delivery of the state-of-the-art crude oil refinery.
According to BINL, it would formally execute memoranda of understanding with ONDIPA in the next visit to the State Governor, Hon. Lucky Aiyedatiwa.
BINL’s Vice President for Corporate Services, Mr Wale Adekola, said the BINL refinery will provide petroleum products for local consumption, feedstock for other local industries and petroleum products for the international market.
The refinery project includes the construction of roads, storage tanks, loading bays, terminals and handling equipment. The scope of the Free Trade Zone Project includes the development of the required infrastructure and facilities for the effective operation and management of the Free Trade Zone.