Nigeriais moving fast to becoming a major exporter of petroleum products as Backbone Infrastructure Nigeria Limited (BINL) unveils plans to develop a $15 billion oil refinery with 500,000 barrels per day capacity.

The refinery will be established in partnership with the Ondo State Government, represented by the Ondo State Development and Investment Promotion Agency (ONDIPA), and will be sited within the Sunshine Industrial Park and Free Trade Zone (FTZ) in Ilaje Local Government Area.

According to BINL, the project will be executed in phases, with the first phase scheduled for completion within 48 months.

Beyond serving domestic demand, the refinery is also positioned to make Nigeria a leading exporter of refined petroleum products across West Africa.

Speaking on the development, BINL’s Vice President for Corporate Services, Mr. Wale Adekola, said the refinery will serve multiple markets and generate significant economic value.

“This is a game-changing industrial project that will help reduce Nigeria’s trade deficit, conserve scarce foreign exchange, and boost government revenues. At the state and local levels, we are confident that it will stimulate job creation and drive economic activity,” Adekola stated.

The company also said it was exploring partnership with the Nigerian National Petroleum Company Limited (NNPCL) to facilitate the delivery of this ultra-modern crude oil refinery.

To fast-track the processes, BINL said it had scheduled a courtesy visit to the governor of Ondo State, Lucky Aiyedatiwa on July 14, 2025, following which the Ondo State Government represented by ONDIPA, and BINL would then formally execute memoranda of understanding on July 15, 2025 to kick off the delivery of these projects.

Adekola said the BINL refinery would provide petroleum products for local consumption, feedstock for other local industries and petroleum products for the international market.

According to him, the refinery project includes the construction of roads, storage tanks, loading bays, terminals and handling equipment.

The scope of the Free Trade Zone Project includes the development of the required infrastructure and facilities for the effective operation and management of the Free Trade Zone.

The development framework includes a comprehensive and strict governance structure for the development of the local community in compliance with international standards and relevant laws.

According to Adekola, the projects would contribute significantly to reducing Nigeria’s trade deficit, conserving foreign exchange reserves, increasing government revenue and economic development.

At the state and local levels, the projects will create local jobs, stimulate the local economy through increased demand for goods and services.