An industrial plant which processes incredible amounts of petroleum, plumbed from vast subterranean oil reservoirs.
Although oil prospecting in Nigeria pre-dates WW1, it was the discovery in 1956 of two extractable deposits in the Niger Delta that marked the beginning of large-scale exploitation of hydro-carbon deposits in the region.
Nigeria has the second-largest oil reserves and the largest gas reserves in Africa, and ranks today as Africa’s number one oil producer and number eleven in the world, with a total production capacity currently estimated at between 1.7 and 2.1 million barrels a day.
This is why the oil business is such a predominant factor in the country’s economy, accounting for more than two thirds of the state budget and more than 80% of its export earnings. Nevertheless, the large majority of deposits – which are concentrated in the Niger Delta region – are managed by foreign companies on behalf of the government. However, the country has recently embarked on the construction of new infrastructure as well as rehabilitating its refineries. And, more importantly, it has been encouraging private local investors to invest in the industry in an effort to turn Nigeria into a net exporter of petroleum products.