Abuja — Notore Chemical Industries Ltd commenced production of urea last week, according to the company's Chief Technical Officer, Mr. Charles Odita.This development is coming seven months after it began ammonia production at its Onne plant.

Odita told visiting members of the House of Representatives Committee on Privatisation and Commercialization that urea production would rise to 500, 000 metric tonnes by the end of 2009, a statement from the Bureau of Public Enterprises (BPE) said.

He said: "We are three hours away from commencing urea production. Is it by coincidence that you are here on this significant milestone for Notore?"

He pointed out that one of their abiding objectives is "not only producing fertiliser and selling, but the product getting to the end user, the farmer." Thus, he noted that its bloom, Notore would branch into several aspects of agriculture, aside fertiliser production.

He added that plans are underway to build a second fertilizer plant. The Chairman of the House of Representatives Committee on Privatisation and Commercialization, Alhaji Njiddah Gella, advised that one of the keys to Notore's success would be "how much you relate with your host communities."

At Eleme Petrochemicals Company Limited (EPCL), its managing director, Mr. Manish Mundra, told the federal legislators that the company has saved over $450 million in foreign exchange for Nigeria by meeting local demand for petrochemicals products.

Mundra, who spoke through Mr. H.C. Sharma, the head of administration, pointed out that Nigeria has now turned into a net exporter of plastic resins from net importer. In addition, EPCL has paid over N8 billion as dividends to the Rivers state government, Nigeria National Petroleum Corporation and Bureau of Public Enterprises since privatisation less than three years ago.

He said EPCL has paid over N3.4 billion as taxes to various tiers of government since taking over the company. Mundra however, drew attention to the challenge of inadequate of gas supply to the plant.

At Rusal ALSCON also, the managing director, Mr. Andrey Terentyev, apprised the lawmakers that they have embarked on a $300 million modernisation programme that includes the completion of the smelting furnaces, the dredging of Imo River and the overall modernisation of the plant.

Terentyev explained that over 1,000 metric tonnes of aluminium has been produced since the smelter was commissioned. He added that ALSCON has started both domestic and international sales of aluminium.

However, he noted that disruption of gas supplies caused suspension of production on four occasions with an estimated loss of $40 million in "remedial work and raw materials and a further $34 million in lost earnings."

Gella tasked the BPE to convene a stakeholders meeting to address the challenge of gas supplies and other issues that came out of their oversight visits to privatised enterprises.