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Ondo set to begin bitumen exploitation

By on April 19, 2016

The Ondo State Government has said that it is set to begin the exploitation of bitumen, one of the mineral resources found in the state in commercial quantity.

Briefing newsmen on the development in Akure on Sunday, the Commissioner for Information, Kayode Akinmade, said the state government had secured a licence to exploit the commodity through Beecon Nigeria Limited, where the government had near complete ownership.

He said government had before now signed a Memorandum of Understanding with an American company, Liquefied Resources, and was also expected to sign a joint operating agreement with the same outfit for the immediate exploitation of bitumen.

The commissioner stated that of Liquefied Resources led by its President, Thomas Cooley, were already in the country and would meet with the representatives of the government on Tuesday to finalise all arrangements regarding the joint operating agreement.

The company officials will visit the proposed sites and also set a date for the commencement of bitumen extraction.

According to Akinmade, as part of the agreement, Liquefied Resources is expected to wholly fund the project, adding that the agreement would regulate profit-sharing between the handling company and the government.

 

[Punch]