Business
Abia moves to develop over 100 capped oil wells to boost production

To develop the oil and gas that abound in the state and boost her production capacity, Abia state government has begun to activate its over 100 capped wells by engaging some private enterprises under Equity shares participation.
Under the Equity arrangement, Abia state government has established an SPV with 40 percent shares, Petroleum Technology Association of Nigeria (PETAN) with 25 percent, while the balance of 35 per cent would be taken up by private investors.
Commissioner for Information Prince Okey Kanu announced this during a media parley with journalists at Government House, Umuahia.
According to Kanu, ” When fully operational this would enable the state government to produce both gas and oil, which of course, would support the Government acquired 1,933 hectares of land for the Abia Industrial and Innovation Park(AIIP) project at Owaza.
“The Modular Refinery Project being constructed at the Abia Industrial and Innovation Park, is very much on course. The company behind the project, HSI Engineering, is committed to birthing that project before the end of this year .
“They have made some progress in that regard . They have recorded some very impressive milestones that speaks to their intention to commence full refining business before the end of this year”.
Adding his voice, the Commissioner for Petroleum and Mineral Resources, Prof. Joel Ogbonna explained that government wants to take advantage of that rich source of oil in the state to develop the state’s economy.
He hinted that government has commenced compensation for the land it acquired in Owaza, Ukwa West for the Abia State Industrial Innovation Park (AIIP).
According to Prof. Ogbonna: “As soon as we came onboard, government acquired 1,933 hectares of land in Owaza for Abia State Industrial Innovation Park.
“That’s where we have the oil and gas. We want to take advantage of that source to be able to develop fertiliser companies, petrochemical, modular refineries and sub sectors .
“In governor Otti;s usual way of doing things we needed to make sure we paid the compensations, which may be, has delayed whatever we wanted to do. So we went ahead and did the enumeration, mounted sensitization programme and by 31st of December (2024) we commenced the payment of compensations.
” So, we are now ready for real business and that’s why you heard that the company that wants to establish a modular refinery has made appreciable progress in that regard.”