August 14, 2024 [Liberian Observer]- On Friday, August 9, the Liberia Petroleum Refining Company (LPRC) broke ground for two critical infrastructure projects at the Product Storage Terminal (PST) on Bushrod Island. The initiatives include the construction of a new gasoline storage tank with a capacity of 17,000 cubic meters and a state-of-the-art petroleum testing laboratory.
The new storage tank, once completed, will significantly enhance LPRC’s total storage capacity, bringing it to approximately 64,000 metric tons. This expansion is expected to play a crucial role in stabilizing the petroleum market, preventing supply disruptions, and increasing revenue, which will be reinvested in further infrastructure improvements.
In addition to increasing storage capacity, the project also includes the construction of a modern petroleum testing laboratory. This facility will be integral to ensuring the quality and safety of petroleum products in Liberia, enabling LPRC to perform rigorous testing and adhere to the highest international standards.
Speaking at the groundbreaking ceremony, President Joseph N. Boakai underscored the importance of the project for Liberia’s petroleum industry, describing it as a milestone for the nation. He emphasized that the initiative is not intended to compete with existing petroleum suppliers but to build on their contributions and ensure a more secure fuel supply for Liberia.
”This project is a strategic investment for our country,” President Boakai remarked. “We are not here to compete with existing suppliers but to support and strengthen our national infrastructure. Our goal is to create a respectable society, open opportunities for business, and drive development across Liberia. This is about positioning our country for growth and ensuring that we are prepared to meet future challenges.”
President Boakai also expressed his appreciation for the efforts of LPRC’s Managing Director, Amos Tweh, and his team in bringing the project to fruition. He reaffirmed his administration’s commitment to supporting initiatives that contribute to the nation’s development, stressing the importance of honest and committed leadership.
“We understand that everyone is looking for opportunities, and these can only be created when we have honest and committed individuals leading the way,” President Boakai continued. “While we may not always get everything right, our determination remains strong, and our conscience is clear. We are focused on building a better Liberia for all.”
Addressing recent concerns regarding governance, particularly in relation to recent arrests, President Boakai clarified that his administration’s focus is not on punitive actions but on ensuring accountability and upholding the integrity of the country’s development processes.
LPRC Managing Director Amos B. Tweh provided an overview of the project, highlighting its significance for Liberia’s petroleum infrastructure. He noted that the increased storage capacity and the new testing laboratory would not only stabilize the supply chain but also position Liberia as a leader in quality control within the petroleum sector.
“These projects reflect our commitment to addressing both the immediate and long-term needs of our country,” Tweh stated. “The increased storage capacity and modern testing laboratory will not only stabilize our supply chain but also position Liberia as a leader in quality control within the petroleum sector.”
Tweh also detailed the background of the project, noting that the contracts for the storage tank were initially signed by the previous administration. However, upon assuming office, the current LPRC management renegotiated the terms to better align with President Boakai’s vision for the country.
“We were able to reduce the interest rate on the project loan from 11% to 9%, saving the government $450,000 over three years,” Tweh explained. “Moreover, we successfully included the construction of the petroleum testing laboratory at no additional cost, ensuring that Liberia’s petroleum infrastructure is both robust and future-ready.”
The engineers overseeing the project estimate that the construction of the gasoline storage tank and the petroleum testing laboratory will take approximately 18 months to complete. Once finished, these facilities are expected to have a substantial impact on Liberia’s ability to maintain a stable fuel supply, ensuring that the term “petroleum shortages” becomes a thing of the past.
“We are fully committed to ensuring that our citizens have uninterrupted access to petroleum products,” Tweh added. “Under President Boakai’s leadership, we are confident that these projects will usher in a new era of progress and resilience for Liberia.”
Aaron J. Wheagar, Sr., Chairman of the Board of Directors at LPRC, also addressed the gathering, recalling that the project’s origins dated back to his tenure as Deputy Managing Director for Administration at LPRC.
Wheagar highlighted the original goal of increasing LPRC’s capacity from 60,000 to 80,000 metric tons, a target that was not fully achieved by the previous administration due to the loss of assets to Bea Mountain.
“The 80,000 goal was not achieved; they were only able to do below 60,000 because half of LPRC’s assets were given to Bea Mountain,” Wheagar said. “Today, we have lost 30,000 metric tons of capacity, and so when this management took over, the MD brought it to our attention that we need to increase the capacity of the terminal because we cannot have fuel security.”
Wheagar added that while the new construction would not fully meet the initial goal, it represents a significant step forward in achieving the long-term vision for LPRC’s infrastructure development.
The groundbreaking event was attended by key stakeholders, including government officials, LPRC staff, and representatives from the petroleum industry. The mood was one of optimism and anticipation, with many attendees expressing their belief that these projects will significantly enhance Liberia’s energy security and contribute to the country’s broader economic development.
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