Obsolete Indeni in need of $1.7billion overhaul

0

INDENI Petroleum Refinery managing director, Maybin Noole, says the company needs US$1.7 billion to put up a new plant or upgrade to enable it meet the current demand for petroleum products in the country.
Mr Noole said the current plant has never been rehabilitated for the past 40 years and new infrastructure is required to modernise the plant.
He said this in Ndola yesterday when Minister of Mines, Energy and Water Development, Christopher Yaluma, toured the plant.
Mr Noole said all the pieces of equipment at the plant are in an obsolete state and they need replacement.
“Sustainability of this business shall require further investment in the plant,” he said.
He [also] said the company is also looking at other investments in order to improve the quality of fuel.
Mr Noole added Indeni will in December this year start the production of 200 tonnes of bitumen per day.
He said [the] government gave the company US$16 million to rehabilitate the plant, which had been abandoned for the past nine years.
And Mr Yaluma said the government is concerned about the unprecedented shutdowns at Indeni.
He said the putting up of a new plant must be accelerated to ensure that the current local demand for petroleum products is met.
“We want to address the issues at Indeni by ensuring that we find the required money to either rehabilitate the plant or put up a new one,” he said.
Mr Yaluma said once bitumen production commences, Indeni will be able to provide two-thirds of the bitumen required by the Road Development Agency for road construction.
The minister also commended Indeni for its good safety record.
Later, Mr Yaluma toured Tazama Pipeline where he said Government intends to modernise the entire pipeline.
And Tazama Pipeline managing director Largeman Muzelenga said the firm has invested US$20 million in infrastructure development.

(adsbygoogle = window.adsbygoogle || []).push({});

NO COMMENTS

LEAVE A REPLY