KEY POINTS
- Anambra plans a modular refinery for LPG production.
- Government promises gas supply support for investors.
- LPG marketers seek stronger safety awareness and training.
The Anambra State Government is planning to establish a modular refinery as part of efforts to expand liquefied petroleum gas, LPG, production and attract fresh investment into the state’s petroleum and gas sector.
The state government said the planned development is part of a broader strategy to create more opportunities in the gas industry while improving the business environment for investors.
Charles Ofoegbu, Commissioner for Petroleum and Mineral Resources, disclosed the plan in Awka during a meeting with members of the National Association of LPG Marketers (NALPGM), Anambra State Chapter.
Ofoegbu said the administration of Governor Chukwuma Soludo was committed to sanitising the petroleum and gas sector and creating conditions that would encourage private-sector investment.
He urged investors interested in establishing gas-processing plants and related facilities to explore the opportunities emerging in Anambra.
The commissioner also assured prospective investors that the state government was prepared to support their operations by facilitating access to gas supplies.
According to him, improving access to gas would be important for companies seeking to establish processing plants and other facilities connected to the state’s emerging energy industry.
The planned modular refinery is expected to support Anambra’s broader ambition to increase its involvement in LPG production and processing.
Modular refineries are smaller-scale refining facilities that can be developed in phases, potentially allowing operators to respond to local market needs without the scale of investment associated with large conventional refineries.
For Anambra, the proposed facility could create opportunities for additional activity across the petroleum value chain, including gas processing, distribution and related services.
The government is also seeking to attract investors who can establish facilities that take advantage of the state’s access to energy resources and growing demand for cooking gas.
LPG safety remains a major concern
The meeting with LPG marketers also focused on safety in the sector.
Daniel Madueke, chairman of NALPGM in Anambra, said the association had approached the commissioner to seek approval for a workshop focused on LPG safety and operations.
The proposed workshop is expected to educate members of the public and industry operators on the nature and properties of LPG, the different pressure levels involved in its use and measures for preventing domestic gas-related accidents.
The association said greater public awareness would be important as LPG use expands across households and businesses. Ofoegbu welcomed the proposed workshop and stressed the importance of regular engagement between government and LPG operators.
He said such meetings could help identify challenges affecting businesses, improve industry practices and strengthen safety standards.
The government’s position suggests that it wants investment growth in the gas sector to be accompanied by stronger regulation and public education.
For LPG marketers, continued engagement with government could also provide an avenue to raise concerns affecting distribution, operations and safety. The planned refinery and wider push into LPG production could create opportunities for investors across Anambra’s petroleum and gas value chain.
Beyond direct investment in refining and gas processing, increased activity could support businesses involved in storage, transportation, distribution, equipment supply and other related services.
The state government is therefore encouraging both local investors and businesses from outside Anambra to consider opportunities in the sector.
The success of the plan will depend on the availability of investment capital, reliable gas supply, infrastructure, regulatory support and the ability to maintain strong safety standards as the sector expands. The proposed modular refinery adds to the state’s efforts to establish a stronger presence in Nigeria’s growing LPG market.
With LPG increasingly used by households and businesses as an alternative cooking fuel, Anambra sees potential for local production and processing to support economic activity and attract new investment.
The government is now expected to work with industry operators and prospective investors to advance the proposed refinery project while addressing safety and operational challenges within the LPG sector.
