Rivers State could attract a major industrial investment following plans for a petrochemical plant valued at approximately ₦4.66 trillion in Bonny Local Government Area. The proposed project is expected to strengthen the state’s industrial sector and create opportunities for employment, local businesses and economic growth. The investment is linked to a proposed $3.5 billion methanol and fertiliser facility for which a memorandum of understanding has been signed.
The agreement involves Best Option Chemical Limited, China National Chemical Engineering Group Corporation (CNCECC) and community stakeholders. The proposed facility is expected to use natural gas as feedstock to produce methanol and fertiliser for industrial and commercial use. The project promoters say the plant could contribute to the development of Nigeria’s petrochemical industry and support domestic production.
The Director-General of the Rivers State Investment Promotion Agency, Chamberlain Peterside, facilitated the discussions and witnessed the signing of the agreement. He said the agency had considered several possible locations, including Ahoada, Onne and Bonny, before the investors settled on Bonny. The location was selected partly because of its access to natural gas and the concentration of oil and gas infrastructure in the area.
Under the proposed arrangement, CNCECC is expected to provide 80 per cent of the project’s estimated investment, while the remaining funding is expected to come through other partners and financial arrangements. Best Option Chemical Limited will coordinate engagement with relevant regulatory authorities and host communities. The project is expected to create jobs during construction and operation, while providing business opportunities for suppliers and service providers.
However, the signing of the memorandum of understanding represents an initial step rather than confirmation that construction is about to begin. Further agreements, financing arrangements, regulatory approvals and other processes will be required before a final investment decision can be reached. Project promoters have indicated that physical construction could begin within nine months, subject to progress on the necessary arrangements.
