Introduction
This report evaluates the market potential and feasibility of producing 500 MTPD of key feedstocks, specifically benzene, toluene, and xylene (BTX), for the chemical industry in Nigeria. Given Nigeria's abundant natural gas resources and the government's push for economic diversification, this analysis aims to identify opportunities and challenges associated with establishing a BTX production facility.

Market Overview
The global demand for BTX is driven by its applications in the petrochemical sector, particularly in producing plastics, synthetic fibers, and solvents. The global BTX market is projected to grow at a CAGR of approximately 5.22%, indicating increasing demand for these chemicals in various applications. This growth supports the establishment of a facility with substantial production capabilities to meet both local and export needs.
Nigeria's strategic location and access to both local and international markets position it as a potential hub for BTX production. The country's oil and gas sector, which has historically been focused on crude oil extraction, is gradually shifting towards value-added chemical production.

Feasibility Analysis
Economic Viability: The establishment of a BTX production facility in Nigeria could leverage existing natural gas supplies, reducing raw material costs significantly. The Nigerian government’s Gas Revolution Policy supports alternative uses for natural gas, which aligns with the proposed project’s objectives.

Infrastructure Requirements: Adequate infrastructure is crucial for the successful implementation of a BTX production facility. This includes transportation networks for raw materials and finished products, as well as utilities such as power and water. The Indorama Eleme Petrochemical Complex serves as a potential site due to its existing infrastructure and operational synergies

Socio-Economic Impact
The project is expected to create job opportunities, enhance local supply chains, and contribute to Nigeria's GDP by fostering the growth of the chemical manufacturing sector. Additionally, increased production of BTX could reduce reliance on imports, thus improving trade balances and enhancing food security through better agricultural inputs

Conclusion
The production of feedstocks like benzene, toluene, and xylene in Nigeria presents a viable opportunity aligned with national economic policies. With supportive government initiatives, existing infrastructure, and a growing market demand for petrochemicals, establishing a BTX production facility could significantly benefit Nigeria's economy while contributing to global supply chains in the chemical industry