August 20, 2022

The Federal Authorities has urged buyers to take a look at creating the nation’s 42 billion barrels of bitumen reserves, which has a $110 billion international market worth.

The Director-Common of the Nigerian Geological Survey Company, Dr. Abdulrasaq Garbar, stated the nation has the sixth-largest bitumen reserves on the earth whereas addressing potential buyers at a digital clarification session organized by the Ministry of Mines and Metal Growth in partnership with PwC Nigeria.

Based on him, the mineral was underutilized for a few years, which created an enormous alternative for native Bitumen manufacturing rather than the nation’s Bitumen imports.

Though there have been many nice successes, there are nonetheless many extra alternatives for enchancment, particularly with regard to the bitumen useful resource, based on Engr. Obadiah Simon, Director-Common of Mining Cadastre and Chairman of the Bitumen Committee, who claimed that Nigeria is blessed with many mineral sources which have remained untapped.

Cyril Azobu, the chief of PwC Nigeria’s mining follow, outlined the corporate’s mandate for the bitumen program and said that it included guaranteeing the distinctiveness and peculiarity of the exploration, improvement, and extraction.

He claims that solely appropriately competent native and international buyers will likely be chosen to hold out bitumen improvement to a helpful extraction degree.

He said that this might be achieved by way of a clear and aggressive procurement process in accordance with worldwide greatest trade requirements and the Nigerian Mineral and Mining Act of 2007.

He stated that native and international buyers should draft a request for qualifying utility and submit it to bitumen.ngsa.gov.ng in an effort to take part within the seven-month bidding course of, which is able to run from Could to November 2022.

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He continued that the applying consists of six credentials, together with experience in bitumen testing, refinery capabilities, and bitumen exploration and extraction.

Traders should additionally observe all required environmental, social, and governance sustainability standards, he added. In addition they have to have steadiness sheets with property value greater than $25 million, in addition to the technical and monetary sources to hold out feasibility research.

Recall that in November 2021, the Ministry of Mines and Metal Growth employed PwC as Transaction Adviser/Program Supervisor to handle the decision-making course of for bidders to develop Nigeria’s designated Bitumen blocks by way of a aggressive bidding course of.