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Tuesday, 25 July 2023

Why All major petroleum exporting countries have active refineries Except NIGERIA




There are a few reasons why Nigeria, unlike other major petroleum exporting countries, does not have active refineries for local consumption of petroleum products. prominent amongst the reasons includes

Corruption and mismanagement. Nigeria's oil industry has been plagued by corruption and mismanagement for many years. This has led to the neglect of the country's refineries, which have become outdated and inefficient.

Oil theft and pipeline vandalism. Nigeria also suffers from a high level of oil theft and pipeline vandalism. This has made it difficult to maintain a steady supply of crude oil to the country's refineries.

Government policies. The Nigerian government has also made some decisions that have hindered the development of the country's refining industry. For example, the government has imposed high taxes on imported refined petroleum products, which has made it more profitable for companies to export crude oil than to refine it locally.

As a result of these factors, Nigeria has been forced to import most of its petroleum products. This has made the country more reliant on foreign oil and has increased the cost of fuel for consumers.

However, there are some signs that Nigeria is finally taking steps to address these problems. The government has recently announced plans to invest in the refurbishment of the country's refineries. It is also considering lifting the ban on the importation of refined petroleum products. If these measures are successful, Nigeria could eventually become self-sufficient in petroleum refining.

In addition to the reasons mentioned above, there are a few other factors that may have contributed to Nigeria's lack of active refineries. For example, the country's population is much smaller than those of other major petroleum exporting countries, such as Saudi Arabia and the United States. This means that Nigeria has a smaller demand for petroleum products. Additionally, Nigeria's refineries are located in the Niger Delta region, which is a major area of conflict. This has made it difficult to operate and maintain the refineries.

Despite these challenges, there is hope that Nigeria will eventually be able to develop a thriving refining industry. The country has the potential to be a major player in the global oil market, and having active refineries would be a key part of achieving this goal. So far Saudi Arabia has the most active refineries in the world, followed by the United States and Russia. These three countries are also the top three crude oil producers in the world.

The other countries on the list are also major crude oil producers, but they have fewer active refineries. This is because some countries, such as China and India, import more crude oil than they produce. The number of active refineries in a country can vary for a number of reasons, including the size of the country's oil reserves, the demand for petroleum products, and the government's policies on oil refining.

Crude oil exporting countries and numbers of active refinery

Country                       Active Refinery

Saudi Arabia                       130

Russia                                  50

United States America    120

 

Kuwait                                 2

Iran                                      3

UAE                                     4

China                                  46

Iraq                                     >15

Canada                               15

NIGERIA                              0

Venezuela                           6

Algeria                                 5

Libya                                    5

Qatar                                    2

Norway                                1

Mexico                                 6

Brazil                                   19

India                                     23

Angola                                  1

Oman                                    1

Indonesia                             6

Kazakhstan                          3

Germany                              16

Azerbaijan                            2

Summary: When they say " God bless America ", I don’t think it is because the people who reside in USA are so religious. I think it is more about the determination of the people towards solving challenges facing them.

Hospitals, Refineries, etc, are established in Nigeria and people (Nigerians, Muslims and Christians) are employed to manage them. But what do we get the moment these persons are entrusted with mismanagement & control of these common wealth...  embezzlement of funds and other primitive wealth acquisition. My Yoruba people say 'A se ni nse ara e'. What we sow is exactly what we harvest! We mismanaged our 3 refineries and all packed up simultaneously, some years ago.

Days of reckoning are here! You see, there is no magic that Heaven will do if we won’t do what is right! Ccritical thinking towards problem solving, doing what is right and at the right time, are vital to a prosperous and peaceful Nigeria.