The Nigerian National Petroleum Company Limited (NNPCL) has announced that the Port-Harcourt refinery’s test run, with a processing capacity of 60,000 barrels per day, will conclude this month, paving the way for full-scale operations. The spokesperson for NNPCL, Femi Soneye, confirmed this development, emphasizing the efficiency of the refinery’s operation during the testing phase.
The Port-Harcourt refineries, part of Nigeria’s state-owned facilities, have been dormant for an extended period. The government’s ongoing efforts to revitalize these refineries aim to reduce the country’s reliance on imported refined products. In December, NNPCL reported the successful completion of the Area 5 section of the Port-Harcourt refinery, marking a significant milestone in the rehabilitation process.
In March 2021, the federal government approved a $1.5 billion contract for the repair of the 210,000-barrel capacity Port-Harcourt refinery. The rehabilitation project, entrusted to the Italian company Tecnimont SPA, is progressing through three phases, with completion expected in 18, 24, and 44 months. The CEO of NNPCL has affirmed that the second phase of repair works is scheduled for completion by the fourth quarter of 2024.
As part of Nigeria’s strategy to end fuel imports and stabilize prices, the country has been working to revitalize refineries, including the Dangote refinery with a capacity of 650,000 barrels per day. The refineries in Kaduna and Warri are also set to resume operations by the end of 2024. These initiatives align with the government’s aim to detach fuel prices from forex market volatility and control price fluctuations. Following the removal of the fuel subsidy in June, petrol prices have increased by over 200%, impacting transportation costs for the average Nigerian.
