Abia Refinery To Attract $300m FDI, 30,000 Barrels Per Day

Abia State Governor, Dr. Alex Otti, OFR, has reaffirmed his administration’s commitment to the timely realisation of the 10,000 barrels per day modular refinery project at the Abia Industrial and Innovation Park (AIIP), Owaza, describing it as a major driver of jobs, foreign direct investment (FDI), and economic growth in the state.

The refinery, being undertaken by HSI Energies Group, is projected to provide 1,000 direct jobs and countless indirect opportunities in its first phase, with plans to scale up to 30,000 barrels per day, creating 3,000 direct jobs.

Receiving the management team of HSI Energies led by Group CEO, Mr. Ugwumba Chikezie Nwosu, Governor Otti expressed confidence that the project would not only strengthen Abia’s economy but also boost the nation’s energy security.

“Thank you for the work that you have done so far, bringing HSI Energies into Abia State to build a modular refinery. We are not oblivious to the kind of time this takes. I think you’ve moved very well, and because of your experience, we are confident of success,” the Governor said.

Governor Otti noted that the 2,000-hectare Abia Industrial and Innovation Park is designed to host a gas-powered industrial ecosystem including modular refineries, petrochemical plants, fertiliser companies, logistics, housing, and clean energy infrastructure. He added that his administration has been deliberate in providing a conducive business environment to attract investors.

Earlier, HSI Group CEO, Mr. Ugwumba Nwosu, briefed the Governor on the progress of the project, disclosing that equity sourcing and debt financing are already in advanced stages. He outlined the huge economic benefits of the refinery, which would be developed in phases.

“The licence is for 10,000 barrels per day, with 1,000 direct jobs. At 30,000 barrels per day, we are looking at 3,000 direct jobs and many indirect jobs. For each 10,000 barrels per day refinery, about $68 million will accrue to government revenue annually from taxes, while the project will bring in about $300 million in foreign direct investment when we scale to 30,000 barrels per day,” he explained.

Mr. Nwosu further highlighted that the project will create opportunities for training Abians in oil and gas, ensure local access to petroleum products, and significantly boost the state’s internally generated revenue.

He also commended the Governor for the construction of the access road to the refinery site, assuring that full construction will commence in the first quarter of 2026.

The meeting was attended by the Commissioner for Petroleum and Mineral Resources, Prof. Joel Ogbonna, Commissioner for Finance, Mr. Uwaoma Ukandu, and other senior government officials.