BP Oil to Offtake Methanol from Large Project in Nigeria

BP Oil International agreed to offtake entire output of Methanol from Nigeria.

Nigeria: BP Oil International, a subsidiary of BP, has signed an agreement to offtake entire output of methanol from a world scale methanol project planned by Brass Fertilizer and Petrochemical Co. in Nigeria. This deal has been set up for a period of 10 years and is valued at about USD6 Billion. Brass Fertilizers is planning to invest in a two-phase project with an investment of USD4 Billion in its first phase for producing 1.66 million metric tons per year of methanol and 1.33 million metric tons of urea. This methanol project is aimed at improving Nigeria’s self-sufficiency in fertilizers.

TechSci Research depicts that the offtake agreement with BP Oil International has enabled Brass Fertilizer and Petrochemical Co. to secure a stable contract for 10 years and would continue to attract foreign investors for its multiphase project, thereby boosting the methanol & fertilizers market in Nigeria.

According to the recently published report by TechSci Research, “Global Pet Coke to Chemicals Market By Derivative (Propylene, Ethylene, Oxo Chemicals, Methyl Acetate, Acetic Acid, Acetic Anhydride, etc.), By End Use Application, Competition Forecast and Opportunities, 2011 – 2025”, the global pet coke market is forecast to surpass $25 billion by 2025, on account of increasing industrialization and rising investments in the cement industry. Surging demand for pet coke as feedstock in various downstream industries such as chemical, construction, automotive, textile and consumer goods is expected to fuel growth in the global pet coke market during 2016 - 2025. BP Plc, Chevron Corporation, ExxonMobil Corporation and Essar Oil are few of the key players operating in the global pet coke market.