... Governor Udom Emmanuel, Interim Chairman, South East, South South Governors’ Forum.

In the aftermath of the inaugural meeting of the South East, South South Governors’ Forum which took place at the Nike Lake Hotel and Resorts, Enugu on July 9, 2017, newly appointed Interim Chairman and Akwa Ibom State Governor, Mr. Udom Emmanuel has stated strongly that refineries and petrochemical industries should be built where the oil is explored. "It doesn't make economic sense to lay sub-sea pipelines from the location where oil is explored to other parts of the nation at a cost of five billion dollars (about two trillion Naira). This amount is enough to build many modular refineries and establish seven Industrial Parks in the region."

Throwing light on the main reason that led to the realignment of economic and political forces of the two zones, Governor Udom Emmanuel applauded the decision of the leaders of the two zones to come together to harmonize their economic interests and pursue inter-regional cooperation and integration. “If mature democracies as exemplified by the European Union (EU) could see the economic benefits of coming together, expanding markets and opportunities, I think the decision of the two zones to come together is frankly speaking in my opinion, long overdue and highly commendable.”

The July 9th event is hugely significant in many ways. It has, for one, turned on its head long held conventional wisdom that has been fed and somewhat internalized by a cross-section of Nigerians that the region which is culturally homogeneous but somewhat linguistically heterogeneous cannot ever come together to form a bloc of unity or integration. Most political pundits have for so long exploited these manufactured fault lines to create a false narrative of a region that is shaped by mutual distrust and endless acrimonious relationship.


The coming together of the two geographically contiguous zones and the formation of the forum of the Governors of the mineral rich region is of strategic interest and one that other component units of the federation cannot over look or treat as a flash in the pan. If the resources in the region were to be pooled together and an economic integration forged, it could become an economic powerhouse in Nigeria and this and other issues were what its interim Chairman - Governor Udom Emmanuel elucidated on recently.

In an exclusive interaction with a cross-section of the press in Uyo shortly after returning from the Enugu event, Governor Udom Emmanuel had reemphasized the cardinal point that formed the organizing narrative at the Enugu event which revolves around the “economic survival of the two zones” and how to “use our huge resources to create economically viable zones in Nigeria”.

“There is no doubt that the resources of the two zones”, the Governor had stated, “the ingenuity, creativity , technological wizardry of the people of the region if properly utilized and harnessed can point the way forward towards the development and economic growth of the region and the nation at large. The region in my opinion represents what California is, to the United States and as the saying goes “as goes California so goes the United States. The two zones will insist on appropriating the resources found within its geographical space for the advancement of its strategic interests within the larger Nigeria content. We will demand and insist on the location and utilization of resources that are found in our region for the common good of our people and the Nigerian society at large and I believe this is a fair demand. There is no reason why we should be blessed with huge resources and yet our region lacks the corresponding federal presence or infrastructure.

Let’s look at the oil and gas industry for instance, it does not make economic sense for oil companies to lay sub-sea pipelines that run from our region to other parts of the nation at a cost of five billion dollars (about two trillion Naira) when such amount could easily build many modular refineries in our region or create modern Industrial Parks across the entire region. Industrial parks can significantly transform the country economically and engender a domino effect that would be felt all over Africa. As the largest oil producing State in Nigeria, it is regrettable that Akwa Ibom State for instance,does not have even a Depot built by NNPC nor any NNPC Group presence.

There is the need for our people to begin to look inwards and we the leaders of the region will do all we can to attract and encourage our hardworking people across the length and crannies of the nation and beyond to come home and invest. It is a new dawn for the people of the two zones and we will work together to advance our mutual interest and send a loud signal to interested parties that we shall not only be the land that lays the golden egg but we will demand to take part in the making of the omelette”. Governor Udom Emmanuel had stated strongly.

SOURCE: http://www.wetinhappen.com.ng/site-refineries-oil-explored-governor-udom-emmanuel/

He is perfectly correct. Modular refineries are always sited where oil is sited!!! Nothing works in Nigeria. The reason of shouts of Biafra everywhere

I am glad for the awakening of the leaders of this two regions.. there has been a lot lopsidedness in the treatment of the region where the resources that is sustaining the whole country is coming from

He's absolutely right, Dangote is citing refinery in Lagos with the hope of getting oil in South south through pipelines, I think that to me is economically unfair, he should have chosen any state in the south west to site his refinery, unless he has no plans of using south south oil

They will do it with adequate security and infrastructure. Its easy to talk about where someone else should place their investment when it's not your money on the line. Udom is right companies naturally want to have refineries and drilling in same area logistically speaking.

"It doesn't make economic sense to lay sub-sea pipelines from the location where oil is explored to other parts of the nation at a cost of five billion dollars (about two trillion Naira). This amount is enough to build many modular refineries and establish seven Industrial Parks in the region."

That won't happen for SE

Ordinary pipelines they won't let the nation rest

If they have refinery nko?

In another twist when oil exploration begins in the north and its being drilled same hypocrites will come out to say their resources are being used to DEVELOP the north

Why not pursue it yourself or encourage private sector? (If private sector hasn't already) You decided to build stadium in Eket instead of oil depot.

As the largest oil producing State in Nigeria, it is regrettable that Akwa Ibom State for instance,does not have even a Depot built by NNPC nor any NNPC Group presence.

Crying to oil companies won't help. They just brush you off like they did last time when you erroneously suggested oil companies have to move HQ over non existent directive by Osinbajo. Find out what incentives they are looking for. The policy is good though.

We will demand and insist on the location and utilization of resources that are found in our region for the common good of our people and the Nigerian society at large and I believe this is a fair demand.

M

What stopped akabio from building a depot or oil refinery in his state, instead,he choose to build stadium...the south south and south east can build an oil refinery and site it in akwa ibom

Site it youself Mr.Governor. just get your license and stop disturbing.Also, with the realities on demand for refined products in the future, no IOC will invest in refining crude in Nigeria. Face the reality and go to the field Mr. Governor.

true

walemoney007:
What stopped akabio from building a depot or oil refinery in his state, instead,he choose to build stadium...the south south and south east can build an oil refinery and site it in akwa ibom

just like ur south west governors built one in Ijebu Ode abi?

Blue3k:
Why not pursue it yourself or encourage private sector? (If private sector hasn't already) You decided to build stadium in Eket instead Depot.



Crying to oil companies won't help. They just brush you off like they did last time when you erroneously suggested oil companies have to move HQ over non existent directive by Osinbajo. Find out what incentives they are looking for. The policy is good though.

If you finished reading the write up you would have seen where he said

" There is the need for our people to begin to look inwards and we the leaders of the region will do all we can to attract and encourage our hardworking people across the length and crannies of the nation and beyond to come home and invest. It is a new dawn for the people of the two zones and we will work together to advance our mutual interest and send a loud signal to interested parties that we shall not only be the land that lays the golden egg but we will demand to take part in the making of the omelette”

walemoney007:
What stopped akabio from building a depot or oil refinery in his state, instead,he choose to build stadium...the south south and south east can build an oil refinery and site it in akwa ibom

If you had finished reading the write up you would have seen where he said

"There is the need for our people to begin to look inwards and we the leaders of the region will do all we can to attract and encourage our hardworking people across the length and crannies of the nation and beyond to come home and invest. It is a new dawn for the people of the two zones and we will work together to advance our mutual interest and send a loud signal to interested parties that we shall not only be the land that lays the golden egg but we will demand to take part in the making of the omelette”

HVACSpecialist:
Site it youself Mr.Governor. just get your license and stop disturbing.Also, with the realities on demand for refined products in the future, no IOC will invest in refinery crude in Nigeria. Face the reality and go to the field Mr. Governor.

If you had finished reading the write up you would have seen where he said

"There is the need for our people to begin to look inwards and we the leaders of the region will do all we can to attract and encourage our hardworking people across the length and crannies of the nation and beyond to come home and invest. It is a new dawn for the people of the two zones and we will work together to advance our mutual interest and send a loud signal to interested parties that we shall not only be the land that lays the golden egg but we will demand to take part in the making of the omelette”

Chiaka:
[s]

If you finished reading the write up you would have seen where he said

" There is the need for our people to begin to look inwards and we the leaders of the region will do all we can to attract and encourage our hardworking people across the length and crannies of the nation and beyond to come home and invest. It is a new dawn for the people of the two zones and we will work together to advance our mutual interest and send a loud signal to interested parties that we shall not only be the land that lays the golden egg but we will demand to take part in the making of the omelette”[/s]

Lol trash response. Pick a better quote to argue with. Is that the subject of my criticism? He was crying federal presence in the region with NNPC. I'm wondering what bold steps did he take before hand with oil depots. Singing we shall over come isn't a policy.

The oil companies didn't skip over Akwa Ibom because of regional integration. It's a good policy but not big factor for oil company siting depots or refineries.

We will demand and insist on the location and utilization of resources that are found in our region for the common good of our people and the Nigerian society at large and I believe this is a fair demand. There is no reason why we should be blessed with huge resources and yet our region lacks the corresponding federal presence or infrastructure.

THE SOUTH SOUTH IS MAKING A GREATER MISTAKE AGAIN TO INVOLVE THE SOUTH EAST IN THEIR OIL PROJECTS. TOMORROW THE IBOS WIL SAY THE OIL IN SS BELONGS TO THEIR GRANDPARENTS. ADI ARA

Poor try!

Indiaindia:
THE SOUTH SOUTH IS MAKING A GREATER MISTAKE AGAIN TO INVOLVE THE SOUTH EAST IN THEIR OIL PROJECTS. TOMORROW THE IBOS WIL SAY THE OIL IN SS BELONGS TO THEIR GRANDPARENTS. ADI ARA

The only reason the governor can make a complaint like this in the first place is because of the federal government's insistence on entering and staying in a field where it has no business in the first place: none of the NNPC refineries are economically viable, no matter where they are located. Take the FG out of the equation and it then becomes entirely a matter for private investors to decide where they want to spend their money, and the only role the state governments would have is providing the right environment to entice them.

Now, all other things being equal, private investors would indeed prefer to locate their refineries close to where their crude oil is, but the question one has to ask is, are all other things really equal? Too many Nigerians allow tribalism and sentimentality to dictate for them instead of thinking things through, but if one were an investor with tens or hundreds of millions of dollars on the line - most borrowed at commercial interest rates, and a huge part of the rest being one's hard-earned savings - who would want to take the risk of investing it all in an area where militants operate with impunity, kidnappings are rampant, and even the governors show a complete lack of respect for property rights, by unilaterally invoking certificates of occupancy for petty political reasons (as Wike just did)? I'm sure that many of those who cheered on Tompolo and Asari Dokubo as "freedom fighters" are the same people now complaining that all the oil companies have moved their headquarters to Lagos, yet they refuse to draw the obvious conclusion about the relationship between their actions and the results.

I'm sure Akwa Ibom is an attractive place for potential investments in refining, if the Petroleum Industry Bill ever gets passed and the field is fully deregulated. The problem Akwa Ibom faces is that the current Biafran militancy in the SE has the potential to scare away investment the state might draw, as investors won't want to route any pipelines through the SE given the likelihood of trouble in the near future. The difficulty here is that the alternative of routing through the ND states is also problematic, and the biggest consumer markets in Nigeria are in the SW, so any refined petroleum would probably have to go by tanker from Akwa Ibom to Lagos, and that might not be cost-effective. Tribal warriors can dislike these facts all they want, but they aren't the ones putting their own money and reputations on the line to make such decisions.

It may not work like that, Wells can dry at anytime but Refinery is fixed project.

Niger Republic would have sited it's Refinery in another Nation.

Time for State Governments to start building refineries sha.

In Nigeria, refineries are sited thousands of kilometers from the oil well so that they will have room for corruption laying pipelines just to get the oil to the refinery .

cjrane:
In Nigeria, refineries are sited thousands of kilometers from the oil well so that they will have room for corruption laying pipelines just to get the oil to the refinery .

You definitely understand the typical Nigerian politician's mindset! This is yet another reason to oppose any direct government involvement in the oil business: there are simply too many huge opportunities for corruption throughout the field, whether through inflated contracts, kickbacks, diverted resources, fake invoices, or what have you. The art of stealing is the one subject in which Nigerian public "servants" are world leaders in innovation.