Abia State Governor, Dr. Alex Otti, OFR, says that he is committed to the timely realisation of the proposed 10,000 barrel per day modular refinery project in the State.
The modular refinery, which is located inside the Abia Industrial and Innovation Park (AIIP), Owaza, is being undertaken by the HSI Energies Group and is expected to provide 1000 direct jobs and countless indirect jobs to Abians.
Governor Otti assured of his commitment to the realisation of the project when he received in audience, the Management of the HSI Energies Group led by its Group Chief Executive Officer, Mr. Ugwumba Chikezie Nwosu, who were in his office to give him the status update on the activities of the company, preparatory to the commencement of work at the site.
He noted that the Abia Industrial and Innovation Park, sitting on about 2000 hectares of land, is capable of accommodating many industrial companies. He said that his administration has been busy providing a conducive business environment for businesses to thrive.
The State Chief Executive said that the vast area in the AIIP Owaza is designated for a gas-powered industrial ecosystem, including energy, logistics, housing, modular refinery, petrochemical plants, fertiliser companies, and clean infrastructure.
He appreciated the Group Chief Executive Officer of the Company for his wise decision to locate the modular refinery in the State, having concluded preliminary works on the site, and noted that it would contribute to the growth of the economy of Abia State.
“Thank you for the work that you have done so far, bringing the HSI Energies into Abia state to build a modular refinery.
“Of course, we are not oblivious to the kind of time this takes.
“So, I think you’ve moved very well. Thank you very much. And it is because of the experience that you have, Gov. Otti stated.
Briefing the Governor earlier on the activities of the company preparatory to the commencement of the Modular Refinery, the Group CEO, HSI Energies, Mr. Ugwumba Chikezie Nwosu, said that the project had reached an advanced stage, while equity sourcing, debt financing, among others, are in progress.
He said that the refinery would be developed in phases, and is expected to generate direct and indirect employment opportunities, boost the State’s Internally Generated Revenue, and attract foreign direct investment.
The Group CEO, Mr. Ugwumba Nwosu, stressed that the socio-economic impact of the refinery would be immense, ranging from training opportunities for Abians in the refining, oil, and gas business to local access to petroleum products.
He further informed the Government team that the refinery is 10,000 barrels of oil per day, “that’s what the licence is. And for each 10,000 barrels per day, there will be about 1,000 direct jobs created in Abia State. We intend to get to 30,000 barrels per day.
“The only thing stopping us from going to 30,000 immediately is that we have to source the crude oil that we will refine. So, by the time we get to 30,000, that means 3,000 direct jobs and many indirect jobs.
“For each 10,000 barrels of oil per day refinery, the tax that will come to the Government’s internally generated revenue from tax will be about $68 million per annum.
“It will also bring in foreign direct investment of $300 million by the time we get to 30,000 barrels per day,” Ugwumba Nwosu stated.
He appreciated Governor Otti for the construction of the access road leading to the refinery and assured that construction would commence in the first quarter of 2026.
The Commissioners for Petroleum and Mineral Resources, Professor Joel Ogbonna, his Finance counterpart, Mr. Uwaoma Ukandu, and other aides of the Governor were present in the meeting.
Ctz. UKOHA, NJOKU UKOHA
Chief Press Secretary to the Executive Governor of Abia State.
27 – 08 – 2025
