35+ Profitable Oil And Gas Business Ideas And Alternatives For 2017
The oil and gas business is probably the most glorified business sectors in Nigeria and Africa. It has created more billionaires than nearly another sector, and anybody who runs any sort of business in it is essentially perceived to be a millionaire or billionaire of their nations.
Whereas the oil and gasoline business is certainly very worthwhile, most people don’t know there are so many business roles they can play in it, regardless of the amount of money they’ve to start out up with.
If you’ve had a craving for starting a business in the oil and gas trade however don’t know the way or what to start out with, listed here are 35+ profitable oil & gasoline enterprise concepts in Nigeria or Africa:
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1). Petroleum Merchandise Procurement And Supplies:
That is probably the most basic oil and fuel businesses to enterprise into. Right here, you give attention to supplying petroleum products like diesel, drilling chemicals, and a complete lot more to a shopper base that needs these things supplied on demand and on credit score, to be repaid in 2 to 6 weeks.
You may leverage clients like government hospitals, giant factories, drilling and exploration firms, and a whole lot more to build your supply chain community.
See Also: How To start A Diesel Supply Business In Nigeria: The complete Information
2). Petrochemical Refining:
Petrochemical products like Benzene, Ethylene, Ammonia, Toluene, and a whole lot more are used for a large number of functions, and so, its giant market base makes the manufacturing of petrochemical products a lucrative oil and gasoline business to venture into.
You may both sell them domestically or export to neighboring countries.
Three). Haulage And Logistics:
This involves the motion of goods and companies within the oil and gas trade. When you’ve got substantial capital, you can venture into this enterprise by transporting petroleum merchandise like Ago, DPK, and extra along with your tankers and other logistics vehicles you’ll have, on behalf of your purchasers .
With a large network of suppliers and an ordinary cost per trip, you can begin up an oil and gas haulage and logistics service.
See Also: 8 Methods to cut back Transportation Prices in Nigeria — And Grow Your Income
4). Gear Leasing:
With a large capital and a large network, you possibly can purchase tools which might be largely used in oil exploration, drilling, and an entire lot more, then lease them out to organisations who want them for short-term or long-term makes use of.
5). Oil Drilling And Exploration:
That is an oil and gas enterprise for high web worth individuals. It is a risky enterprise, but can be extraordinarily worthwhile. To venture into this, you’ll want an Oil Prospecting License (OPL), a really experienced and technical group, and high valued machinery to start with.
See Additionally: The Crude Oil Advertising and marketing Business In Nigeria: what is crude petroleum used for Complete Guide For Patrons & Sellers
6). Gas Importation:
Some petroleum entrepreneurs import refined petroleum merchandise from refineries utilizing their own vessels or the refinery’s vessels. When their petroleum products arrive, they’re saved in tank farms after which offered to native petroleum entrepreneurs like diesel suppliers, petrol stations, and an entire lot more.
These merchandise are normally bought out fast to distributors as a result of they are priced low.
You probably have a large working capital within the tune of $10 to $30 million dollars, you can venture into the importation of gasoline for resale in Nigeria.
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7). Oil Farm/Depot:
Imported gasoline as said above, are stored in tank farms. Most oil marketers don’t own tank farms, and because of this, all the time need to store their petroleum merchandise in different tank farms.
With a large working capital, you may construct a tank farm for the only function of leasing it out to oil entrepreneurs who bring in petroleum merchandise.
See Also: How To seek out Actual Crude Oil Sellers And Patrons In Nigeria
8). Crude Oil Exportation:
Crude oil exportation is one other oil and fuel enterprise to enterprise into. To successfully start this, you’d have to get an LPO from a refinery locally or abroad, then you definitely must have the minimal cash value of the crude oil quantity you intend to export, in your checking account.
With this money worth stored, the NNPC can ship the quantity of crude oil you’ll want to your consumer and reimburse you with a 1% value of the crude oil exported as revenue.
On this instance, you don’t fully use your individual cash to export it. As an alternative, you need the minimum to be in your checking account, which you possibly can get with a bank mortgage as long as you’ve got a valuable guarantor.
See Also: The last word Information To Starting A Crude Oil Brokerage Business (Crude Oil Selling) In Nigeria And Africa
9). Offshore Trading:
If you don’t have the rights to sail via the water methods of a different country, you can sell your petroleum merchandise to shippers who’ve the licence to do so. Now if you have the rights to ship, you may buy out one other shipper’s merchandise at a fairly good price and full the shipment your self.
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10). Oil And Fuel Radio Discuss Show:
Internet hosting a radio talk present that discusses the most recent oil and gasoline tendencies, investment opportunities, job alternatives, and much more is one other oil and gas enterprise to venture into.
11). Petrol Stations:
This is the retailing of petroleum products on to motorists and a number of other others. The margins listed here are too much increased than promoting the petroleum products on the depot to suppliers, and as a result, most petroleum entrepreneurs who import petroleum merchandise also personal tank farms and petrol stations, so they can maximise their revenue margins.
See Additionally: How To purchase Crude Oil From Nigeria: Full Information For Buyers And Sellers
12). Kerosene Retail:
Kerosene retail is one other oil and fuel business to enterprise into. You can either provide kerosenes to a number of small-scale retailers or you may have multiple areas where you sell the kerosenes directly to the end users.
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13). Cooking Gas Wholesale And Retail:
Cooking gas is yet again another oil and gas enterprise to enterprise into. Right here, you would provide varied small scale cooking fuel retailers, or you possibly can promote cooking gas instantly by your self.
14). Oil And Gasoline Brokerage:
By serving as an intermediary between two vendors within the oil and fuel business, you may earn a fee on every profitable transaction executed. This is what is crude petroleum used for particularly nice for those who don’t immediately have a large or substantial capital to venture into the industry.
See Also: How To seek out Real Ago Sellers And Patrons In Nigeria
15). Oil And Gas Television Show:
Just like a radio discuss present, you can begin up an oil and gasoline Tv show that talks about the business traits, enterprise opportunities, and job alternatives.
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sixteen). Oil And Gas Journal:
Oil and Fuel magazines cover a lot more; including interviews, projections, alternatives, and plenty of more information about running a enterprise in the oil and gas industry.
When you have some expertise in the trade and have nice writing expertise, you can begin up an oil and gas magazine.
17). Oil And Gas Maintenance And Servicing:
Oil and gasoline servicing is a very profitable area of interest in the oil and fuel trade. The first position of organisations in this sector is help fix and maintain the services of different oil and fuel businesses.
To start out up this enterprise, you’re expected to have spent many years within the oil and gas servicing industry, learnt an entire lot about the constructing and upkeep course of, and must have constructed a powerful network before you venture out on your own.
See Additionally: 14 Issues That Kill Crude Oil Advertising and marketing Transactions In Nigeria
18). Oil And Gasoline Running a blog:
Oil and gas blogging is a method a freelance writer can venture into the industry from his or her bedroom. You could possibly speak about what businesses in the business are doing, small and enormous business ideas individuals can benefit from within the trade, and the way they will be successful.
By doing this, you’ll profile your self as a professional and a consultant.
See Also: How To begin A Blog — The entire Beginner Guide
19). Oil And Fuel Recruitment Agency:
The oil and fuel trade is a large one, and as such, operating a recruitment company that has a large deal with the industry can turnout to be a worthwhile venture.
By leveraging the size of the trade, a recruitment agency started by an experienced HR personnel can be an incredible wager.
20). Oil And Gasoline Legal Services:
Some lawyers specialise largely on the oil and gas trade. These legal professionals are majorly specialists, and build their careers around this business.
If you’re lawyer, you can enterprise into the oil and fuel business by offering legal services.
21). Oil Spillage Cleansing:
Oil spillage happens loads by accidents involving tankers, storage facilities, refineries, drilling rigs, pipelines, and barges. It may be brought on by mistakes or by pure carelessness. As a result, the necessity for an oil spillage cleansing service is widespread in the industry.
If you’re knowledgeable in this discipline or not, you possibly can either work for an oil spillage cleaning firm, then be taught more about it at an institute, and will then go on to further start up a cleansing service.
There are a whole lot of risks involved on this, in addition to large revenues, and as such, solely highly experienced professionals are inspired to enterprise into this enterprise.
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22). Oil And Gasoline Consulting And Advisory:
To begin an oil and fuel consulting and advisory service, you’d have to have had a really large experience within the business with a very good observe document. After which you’ll then seek the advice of for brand spanking new businesses who’re just starting out within the industry to ease their startup and development part.
23). Petroleum Refinery:
This oil and gasoline business is basically executed by dollar billionaires and governments around the world. It might cost as much as $8 billion dollars to setup a refinery, and so, this venture is very restricted due to the capital necessities and political what is crude petroleum used for community the founder will need to have constructed.
25). Crude Oil Transport Firm:
Simply as there are oil marketers who export crude oil based on an LPO received, there are additionally others who buy massive vessels and lease them to crude oil exporters. This enterprise may be very capital intensive as a vessel of this scale costs millions of dollars to purchase.
In case you have a big money backing or a doubtlessly massive asset finance assist from a bank, and a large community, you can enterprise into the crude oil delivery business.
See Additionally: 10+ Authorized Necessities For An Import And Export Enterprise in Nigeria
26). Refinery And Tank Farm Development Firm:
That is another extremely specialised oil and fuel enterprise alternative, as solely a person who’s worked on this business or has hyperlinks to companies who can construct this, can venture into the development of refineries and tank farms for prospective purchasers.
But none-the-less, it’s an extremely profitable venture.
27). Lubricant Production:
Lubricants are extensively bought and used in their thousands on a daily basis. Mechanics use them on a regular basis, and at several intervals, you’d have to purchase one for your vehicle.
You can enterprise into the production of lubricants, develop a reputable brand title, and ideally market them via a network of petrol stations and mechanics.
To play it even safer, you’ll be able to strategy in style petrol stations that sell their very own lubricants and provide to manufacture for them at a fair diminished value. This manner, you may have everyone as your consumer, as a substitute of attempting to construct a brand identify that will fail.
28). Procurement, Manufacturing, And Provide Of Gas Pipelines:
The procurement, manufacturing, and supply of oil and pure fuel pipelines is another oil and gas enterprise alternative. It is reserved for individuals who’ve enough capital and a large community to venture into.
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29). Natural Gas Marketing:
First, you’d want to acquire a licence simply as a number of different oil and fuel enterprise alternatives require. Then you can serve as a middle man between the natural fuel producers and the market that wants it delivered.
30). Sale Of Petroleum Tankers:
Shopping for and promoting petroleum tankers is another oil and gasoline business alternative to venture into. Several oil marketers go on to ultimately buy their very own petroleum tankers, so they can stop shedding a part of their earnings to leasing tankers for his or her supplies.
You can enterprise into this enterprise when you’ve got a wide network of petroleum entrepreneurs who are wanting to buy their very own tankers within the close to future.
31). Manufacturing And Sale Of Cooking Gas Cylinders:
So many houses use cooking gas as a substitute of kerosene to prepare their meals, and as such, are at all times utilizing cooking gasoline cylinders for this goal. The number of households that don’t use it remains in millions, and so, shows the potential opportunity in the business.
You could possibly start a cooking gas cylinder manufacturing and/or retail enterprise and market them to the populace or distribute to other smaller retailers.
See Additionally: 35+ Profitable Small Scale Manufacturing Business Ideas You can start As we speak
32). Oil And Gas Pipeline Security:
Pipeline vandalization is a large downside not only in Nigeria, but in many other elements of the world. You would setup a pipeline security company that screens pipelines on a 24/7 basis to ensure they stay intact, thereby enormously lowering the damages accomplished to them inside the area your contract stipulates.
33). Petrol Station Constructing And Development:
Simply as constructing tank farms could be a lucrative enterprise, building petrol stations for purchasers is equally one other alternative.
34). Oil And Fuel Enterprise Software Application:
Know-how companies are equally not not noted as they can build tech options specifically targeting the oil and fuel industry, and license the softwares to firms within the sector.
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35). Offshore Boat And Helicopter Transportation:
Going offshore normally requires the companies of a boat or helicopter service. Whereas some oil and gasoline corporations own their own boats, others don’t or are beneath-stocked, and as such, opens up a business alternative for any particular person with a lot of money and a large community of corporations needing extra affordable offshore transportation services.
36). Offshore Medical Companies:
Accidents and different unforeseen occasions occur quite a bit offshore, and as such, an organization known as the “Flying Doctors” was based by Dr Ola Orekunrin to handle these issues, thereby proving there was an excellent alternative on this sector. Right now, this firm is growing exponentially, has been in existence for over 5 years, and continues to serve the trade.
If you’re a skilled medical practitioner, you’ll be able to enterprise into this enterprise alternative too.
37). Manufacturing And Provide Of Barrels Or Drums:
Barrels are utilized in measuring crude oil, and as such, an ample market exists for it. You could possibly go into the manufacturing or provide of barrels as a way to start out up within the oil and gasoline trade.
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38). Manufacturing And Sale Of Oil And Gas Tools:
During the setup part of any oil and gasoline facility, plenty of gear are used in the method, and as such, a Request For Proposals (RFP) is usually sent out for a public bid on the mission.
You could possibly go into the provision of oil and fuel equipment for organisations who’re into giant scale facility constructions.
39). Oil And Gas Coaching Institute:
Lastly, if you’ve been within the industry for a very long time, you can put all the data you’ve acquired into action by organising an oil and gasoline training institute.
You can promote your companies on the newspapers and in addition let your network and clients you’ve beforehand served know you can practice and retrain their staffs to grow to be world class engineers and staff.
What are your ideas on these 35+ oil and fuel enterprise ideas and opportunities in Nigeria, Africa, or anywhere else around the globe Let me know by leaving a remark below.