Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

GE proposes investing in Nigeria's ailing oil refineries

Published 01/25/2017, 03:24 AM
Updated 01/25/2017, 03:30 AM
© Reuters. The logo of US conglomerate General Electric is pictured at the company's site in Belfort
CVX
-
ENI
-
GE
-

LAGOS (Reuters) - General Electric Co (N:GE) has proposed investing in Nigeria's oil refineries, potentially convening a consortium of companies to improve capacity at the run-down facilities.

GE's plan and similar promises from companies like Italy's Eni (MI:ENI) to work with Nigeria to rehabilitate the country's three oil refineries could help the government as it tries to reduce costly imported oil products.

The work was raised during a meeting with the Nigerian National Petroleum Corporation (NNPC), a GE spokeswoman said late on Tuesday.

"We propose that work commences either with the Warri or Port Harcourt refinery as a pilot, as we set a target to improve the refinery capacity before the end of 2017," GE told the NNPC, according to a statement from the state oil firm.

Imports are consuming a large portion of the nation's scarce foreign currency, but the run-down state of the refineries themselves, which are also subject to frequent pipeline attacks, has hampered progress.

Nigeria's Minister of State for Petroleum Resources, Emmanuel Ibe Kachikwu has said that Chevron (NYSE:CVX) and Total were also interested in working on the refineries.

© Reuters. The logo of US conglomerate General Electric is pictured at the company's site in Belfort

GE and NNPC could also cooperate on national power projects, said the Nigerian firm, as the country remains plagued by cuts and shortages and a creaking power grid.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.