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Bitumen, also sometimes known as asphalt, is a highly viscous
and sticky black or dark-colored semi-solid form of petroleum.
Its scientific name is bituminous binder.
Bitumen is a highly viscous hydrocarbon that is commonly used
for road construction, roofing, and waterproofing. It is
produced from crude oil through a process called fractional
distillation. Bitumen has a wide range of applications due to
its waterproofing and adhesive properties, making it an
essential material in various industries.
The demand for bitumen is increasing in Nigeria and Africa,
driven by the need for durable and high-quality road
infrastructure. The African Development Bank (AfDB) estimates
that the demand for bitumen in Africa is set to grow by 7.1% per
annum between 2018 and 2023. This presents an enormous
opportunity for bitumen supply business owners in Nigeria and
Africa.
Nigeria has the potential to become a major exporter of bitumen,
as it has significant reserves of the mineral. The Nigerian
government has already taken steps to boost bitumen production
and exportation by promoting private sector investment in the
sector. The government planned to increase bitumen production to
500,000 tons per annum by 2025, and export at least 50% of it.
The bitumen supply business is a profitable venture with
significant growth potential in Nigeria and Africa. With the
increasing demand for durable road infrastructure, coupled with
Nigeria’s bitumen reserves and government support for private
sector investment, entrepreneurs can leverage these
opportunities to create successful businesses
Here is a step-by-step guide:
Source of Raw Materials: The first step is to source the raw
materials needed for bitumen production, including crude oil and
additives.
Distillation: The crude oil is then subjected to a distillation
process to separate it into various components, including
bitumen.
Blending: Bitumen 60/70 is produced by blending bitumen with a
suitable solvent to adjust the viscosity to meet the required
specifications.
Quality Control: Quality control is essential to ensure that the
final product meets the required standards. This involves
testing the bitumen for various properties, including viscosity,
penetration, and softening point.
Packaging: The final step is to package the bitumen in suitable
containers for transportation and storage.
It is crucial to ensure that all safety regulations are followed
during production and packaging of bitumen 60/70.
Target Market For Bitumen Products In Nigeria
Road construction companies: Road construction companies are the
primary consumers of bitumen in Nigeria and Africa. The market
for bitumen in the road construction industry is expected to
grow due to the increasing need for better and durable road
infrastructure.
Government agencies: Government agencies such as the Ministry of
Works, the Nigerian National Petroleum Corporation (NNPC), and
the Department of Petroleum Resources (DPR) are potential
customers for bitumen. These agencies are responsible for the
construction and maintenance of roads, highways, and other
infrastructure in the country.
Contractors: Contractors who specialize in road construction and
maintenance are another target market for bitumen. They require
bitumen to carry out their projects, and they are always on the
lookout for quality products at affordable prices.
Asphalt companies: Asphalt companies use bitumen as a binding
agent in the production of asphalt for road construction.
Bitumen suppliers can target these companies as potential
customers.
Roofing companies: Bitumen is also used in the production of
roofing materials such as shingles and tiles. Roofing companies
can be targeted as potential customers for bitumen suppliers.
Oil and gas industry: The oil and gas industry in Nigeria and
Africa is a potential market for bitumen suppliers as it is used
in the construction of offshore structures, including drilling
platforms, pipelines, and storage tanks.
Construction companies: Bitumen can also be used in the
construction of buildings and other structures. Construction
companies are potential customers for bitumen suppliers.
Railway companies: Railway companies require bitumen for the
construction and maintenance of railway tracks.
Military and defense: Bitumen is used in the construction of
military and defense infrastructure such as runways, helipads,
and missile silos.
Mining companies: Mining companies require bitumen for road
construction and maintenance in their mining sites.
Landscaping companies: Landscaping companies use bitumen for the
construction and maintenance of walking paths and pavements.
Real estate developers: Bitumen can also be used in the
construction of parking lots, driveways, and other outdoor
structures. Real estate developers are potential customers for
bitumen suppliers.
Agricultural sector: Bitumen is used in the construction of farm
roads and drainage systems in the agricultural sector.
Waste management companies: Waste management companies require
bitumen for the construction and maintenance of landfill sites.
Cement companies: Cement companies require bitumen as an
additive in the production of cement.
Paint manufacturers: Bitumen is used as a pigment in the
production of paints and coatings.
Adhesive manufacturers: Bitumen is used as an adhesive in the
production of tapes, labels, and other adhesive products.
Chemical companies: Bitumen is used as a raw material in the
production of various chemicals.
Nigeria has an estimated thirty-eight billion (38,000,000,000)
barrels of extra-heavy oil and bitumen reserves. While this
amount is significant, and roughly equivalent to its present
conventional oil reserves, this amount is much, much smaller
than Canada’s two trillion, four hundred billion
(2,400,000,000,000) barrels and Venezuela’s two trillion, one
billion (2,100,000,000,000) barrels.
Get our Practical Guide on how to set up a lucrative Bitumen Production Company in Nigeria. This report examines the financial viability of establishing a small scale surface bitumen mining and processing plant in Nigeria. The operation would cover the mining and processing of bitumen for use in road construction. This guide provides an overview of the buying process for bitumen/tar sand in Nigeria, from selecting the right supplier to understanding the necessary safety and environmental considerations. It offers an insight into the different types of bitumen/tar sand available, the factors to consider when making a purchase, and provides tips on how to get the best value for your money. With this comprehensive guide, you will be able to make an informed decision on the bitumen/tar sand that fits your needs and budget.
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