Nigeria has launched its first new crude oil export terminal in fifty years, marking a significant milestone as it prepares to expand capacity to support the growing influence of local companies in increasing production.
The Otakikpo onshore terminal, with a current storage capacity of 750,000 barrels of crude oil, is owned and operated by Green Energy International Ltd, a Nigerian enterprise. CEO Anthony Adegbulugbe revealed in an Abuja interview that plans are underway to boost the terminal’s capacity to 3 million barrels-quadrupling its present volume.
Green Energy is targeting a more than twofold increase in crude production to amplify export capabilities. The company is partnering with several producers to streamline the export process through the terminal, which features multiple injection points designed to handle crude from diverse suppliers.
As Africa’s leading crude oil producer, Nigeria has enhanced its output by strengthening security and implementing reforms that attract investment. The nation is increasingly turning to indigenous producers, particularly as some international oil firms retreat from certain oil blocks.
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Located within the OML 11 block, southeast of Port Harcourt, a major oil hub, the $400 million terminal was financed through a blend of domestic and international partnerships, including investments from Shell Plc and Lagos-based Fidelity Bank Plc, according to Adegbulugbe. The facility boasts a pumping capacity of 350,000 barrels per day and is expected to unlock development opportunities for over 40 dormant fields in the region.
Government representative Temitope Ajayi emphasized the terminal’s importance as a catalyst for marginal field operators and midstream service providers, aligning with national policies promoting local content. “This infrastructure enables Nigerian companies to oversee the entire value chain, from extraction through to export,” he stated.
Powered by 15 megawatts of gas-fired electricity, the terminal benefits from reduced operational costs. Green Energy also plans to establish a gas processing and methanol production facility, along with a mini-LNG plant. Negotiations are in progress with the African Export-Import Bank for a $20 million funding package to support these initiatives, as well as the creation of an industrial park designed to supply gas to manufacturing sectors.