(Ecofin Agency) - Italian oil company Eni is set to build a new refinery in Nigeria, Reuters reported citing the country’s minister of petroleum, Emmanuel Kachikwu (photo). According to the official, the infrastructure will produce 150,000 barrels of oil per day.

“We reached an agreement that Agip (Eni’s Nigerian subsidiary) will build a brand new refinery of 150,000 barrel capacity”, Kachikwu announced following a meeting with Eni executives in Abuja.

However, Eni executives declined all comment regarding the project.

The new refinery should help boost the nation’s oil output which currently stands about 2 million barrels per day. Besides Eni’s incoming infrastructure, the nation expects another oil refinery by 2019. The refinery, which is to be built by Africa’s richest Aliko Dangote for $12 billion, should produce 650,000 b/d.