Backbone Infrastructure Nigeria Limited (BINL) has announced plans to develop a $15 billion crude oil refinery and launch a free trade zone in Ondo State, in partnership with the state government. T
he project aims to drive economic growth, reduce Nigeria’s trade deficit, and enhance the country’s refining capacity.
BINL confirmed it will construct and operate a 500,000-barrel-per-day refinery within the Sunshine Industrial Park and Free Trade Zone, located in Ilaje Local Government Area.
The ambitious project will be executed as a joint venture with the Ondo State Government, facilitated through the Ondo State Development and Investment Promotion Agency (ONDIPA).
The multi-phase development will begin with an initial 100,000-barrels-per-day refining unit, with the first phase scheduled for completion within 48 months.
BINL is also in advanced discussions with the Nigerian National Petroleum Company Limited (NNPCL) for potential collaboration to support project delivery.
As part of formal project activities, BINL representatives will visit Ondo State Governor Lucky Aiyedatiwa on July 14, 2025.
A memorandum of understanding (MoU) between BINL and the state government will be officially signed on July 15, 2025, marking the project’s formal launch.
The refinery is expected to supply domestic energy needs, provide industrial feedstock, and produce refined petroleum products for export.
Supporting infrastructure will include road networks, storage facilities, terminals, loading bays, and other key operational assets.
In addition to the refinery, the free trade zone will feature comprehensive infrastructure to ensure efficient management and global-standard operations.
A robust governance framework will guide community development, regulatory compliance, and environmental standards.
According to Wale Adekola, Vice President of Corporate Services at BINL, the project is designed to:
Reduce Nigeria’s trade deficit
Preserve foreign exchange
Boost government revenue
Strengthen the national and regional economy
He also emphasized the project’s potential to create thousands of jobs and increase demand for local goods and services, driving inclusive economic growth across Ondo State and surrounding communities.
