The Edo State government-backed Edo modular refinery has ordered 150,000 barrels of crude to meet the growing demand of its clientele base, just weeks after commencing production.
This move is expected to boost the production capacity of the refinery from its present 6,000 barrels per day (bpd) going forward.
The crude will be sourced from the Oza Oil Field, which is operated by Decklar Resources Inc and Millenium Oil and Gas Company Limited.
Speaking on the latest agreement, the Chief Executive Officer of Decklar Resources Inc., Sanmi Famuyide, said “Decklar and Millenium are at an advanced stage of executing a new 150,000 bbls crude oil sale and purchase agreement with ERPC, which is expected to include terms for invoicing and payment after the delivery of each cargo of 10,000 bbls of crude oil.
“We are very pleased that payments for the sale of crude oil from the Oza field continue to be received. Deliveries to ERPC in Edo State are ongoing on a consistent basis, and the anticipated doubling of the contracted truck fleet is expected to enable the company and our co-venturer Millenium to increase the volume and consistency of deliveries of oil to market.
“The additional trucking capacity is also expected to create opportunities for additional delivery of crude oil to other potential customers in the near term.”
The modular refinery commenced production in January with its first supply of 10,000 barrels of crude feedstock.