GAIL Launches Nigeria’s Second-Largest Refinery in Ogun: A New Era for Local Fuel Production

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Nigeria’s oil and gas landscape is entering a bold new chapter as Gasoline Associates International Limited (GAIL) unveils its flagship refinery project in Ipokia, Ogun State. Led by Chairman and CEO Dr. Lukman Akande Bolaji, the refinery is set to become Nigeria’s second largest, behind only the Dangote Refinery.

The facility will begin operations with a daily refining capacity of 100,000 barrels, with expansion plans already in motion to scale up to 450,000 barrels per day. Once fully operational, the refinery will significantly reduce Nigeria’s dependence on imported petroleum products by boosting the local supply of Premium Motor Spirit (PMS), Automotive Gas Oil (AGO), Liquefied Petroleum Gas (LPG), and Jet Fuel (ATK).

Strategically located near the Benin Republic border, the refinery is expected to transform Ogun State into a major industrial and energy hub in West Africa, attracting investment, creating thousands of jobs, and spurring development in the region.

GAIL’s project comes at a time when Nigeria is making concerted efforts to revamp its downstream sector and strengthen energy security. According to the company, the refinery will also include petrochemical facilities, aligning with broader goals of industrial diversification and value-added production.

Dr. Bolaji, whose experience spans oil and gas, banking, academia, and global business, described the project as a “game-changer” for Nigeria. “Our goal is not just to refine crude oil,” he said, “but to drive sustainable economic growth through innovation, local content development, and strategic partnerships.”

The Federal Government has already granted GAIL the necessary licenses to build and operate the facility, signaling strong regulatory backing for the private-sector-led initiative.

With the launch of this mega-refinery, Nigeria is inching closer to self-sufficiency in fuel production, reducing its multi-billion-dollar annual fuel import bill, and positioning itself as a regional powerhouse in energy and industrial growth.

This development marks a significant milestone not only for Ogun State but for the entire country, as it paves the way for a more resilient, diversified, and self-reliant energy future.