Local refining of crude will encourage import substitution which will reduce pressure on the nation’s foreign exchange as well as create jobs for the teeming population.
The Managing Director and Chief Executive Officer of Aradel Holdings, Mr Adegbite Falada, disclosed this in Lagos at the weekend during the rebranding of Niger Delta Exploration and Production Plc. (NDEP) to Aradel Holdings.
“The primary benefit of local refining is not price because you are still going to buy the crude at international oil prices.
“The biggest value local refining does is that it provides employment for Nigerians, it helps us with import substitution and so because you are not committing your scarce forex to import fuel, you are able to conserve your forex and it eases the pressure on the naira.”
While noting that the rebranding to Aradel Holdings will better reflect its long-term strategy of becoming Africa’s leading organisation in the delivery of sustainable energy solutions that support economic growth, he said the company will continue to adapt and reinvent itself for the future.
In his remarks, the Chairman of Aradel Holdings, Mr Ladi Jadesimi said: “We recognise that the present and future of any company in terms of prospects are more relevant than a glorious past or heritage. We are very aligned with the dynamic changes, opportunities, and challenges ahead of us and have a robust and well-articulated strategy to take advantage of the opportunities while managing the risks.”