Wider pipeline will optimise Crude Oil refining – Idi Mukhtar

The Managing Director, Kaduna Refining and Petrochemical Company (KRPC), Idi Mukhtar, yesterday said that the use of 20-inch pipeline to optimise refining of crude oil to about 80 per cent.

Mukhtar made the call while declaring open the fourth edition of the ongoing workshop for energy correspondents by the KRPC in Kano.

This 2016’s edition is  themed: “NNPC in Transition-Transformation and Media’s Role in Facilitating Positive Outcome”.

According to the MD, “It is of equally strategic importance the need to lay a new wider (20 inch) pipeline that will serve as a better alternative to the current 16 inch pipeline which is limited by its size and low integrity.

“In fact, if KRPC is to achieve the target of operating at a minimum of 80 per cent throughput, the new pipeline is needed to ensure delivery of sufficient crude oil to meet the target.”

Mukhtar also advocated for a framework that would regard the pipeline as ‘Military Zone’ in view of its strategic importance.

He said, “A major challenge facing KRPC is the incessant vandalism on Warri–Kaduna pipeline and in fact it is one of the greatest threats to KRPC’s performance. This line needs to be highly secured to guarantee continuous supply of crude oil to KRPC.”

Going further, he stated that the KRPC is working to reposition itself in line with the current administrations effort to ensure efficiency and profitability in the oil sector.

He equally informed that the company is undertaking major restructuring process for the formation of Autonomous Business Units (ABU) with new Operation and Marketing Model (O&M Model) to address inefficiencies in the refinery.

“In line with the on-going NNPC transformation objectives, the aspiration of KRPC is to move from cost centre to a profit and self-sustaining center with the capability to grow investment, production output and revenue”, he said.

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