Port Harcourt Refinery Set To Begin Operations In July....KINDLY READ THE FULL STORY HERE▶

The long-awaited operations of the 210,000-barrel-per-day Port Harcourt refinery are finally set to commence by the end of July, following numerous postponements. This new date was disclosed on Monday by Chief Ukadike Chinedu, the National Public Relations Officer of the Independent Marketers Association of Nigeria (IPMAN)…….CONTINUE READING

Chinedu stated that the operational start of the refinery would stimulate economic activities, lower the price of petroleum products, and ensure an adequate supply.

In December of last year, the Minister of State for Petroleum Resources, Heineken Lokpobiri, announced the mechanical completion and flare start-off of the largest crude refinery in Port Harcourt. The refinery consists of two units: an old plant with a capacity of 60,000 barrels per day and a new plant with a capacity of 150,000 barrels per day.

The refinery was initially shut down in March 2019 for the first phase of repair works after the government engaged Italy’s Maire Tecnimont as a technical adviser to review the refinery complex, with oil major Eni also serving as a technical adviser.

On March 15, 2024, Mele Kyari, the Group Chief Executive Officer of NNPC Limited, indicated that the refinery would commence operations in about two weeks. Kyari mentioned this during a press briefing after appearing before the Senate Ad hoc committee investigating various turnaround maintenance projects of the country’s refineries.

Kyari said, “We did a mechanical completion of the refinery as we stated in December. We now have crude oil already stocked in the refinery. We are conducting regulatory compliance tests that must be completed in every refinery before starting, and I assure you that this Port Harcourt refinery will start in two weeks.”

Despite this assurance, the refinery had not started operations two months later. In an exclusive interview on Monday, IPMAN’s Chinedu confirmed that extensive work had been done, representing a complete turnaround rather than just rehabilitation. He emphasized that every effort would be made to meet the July deadline.

“Yes, when we visited the place, the MD told us that the refinery was almost ready and by the end of July, they would start producing. It has been turned into a new one. They changed all the armored cables to brand new ones, and everything there is almost like a brand-new refinery,” Chinedu said. He added that the turnaround maintenance was extensive and ongoing day and night to ensure the target was met.

When reminded of previous missed deadlines, Chinedu acknowledged the delays but assured that the refinery is now 99% ready, with no significant challenges remaining. He expressed optimism that the competition between the Port Harcourt refinery and the soon-to-commence Dangote Refinery would benefit the nation by reducing petrol prices.

The new timeline aligns with the Dangote Refinery’s proposal to begin petrol production by the end of June. Aliko Dangote, Chairman of the Dangote Group, has assured that Nigeria would no longer need to import petrol starting next month, as the refinery can meet West Africa’s petrol and diesel needs, as well as the continent’s aviation fuel demand.

With Nigeria currently spending approximately N520 billion monthly on the importation of Premium Motor Spirit (PMS), the operational start of these refineries could significantly reduce the country’s N6.2 trillion yearly import bill.

Femi Soneye, the NNPCL Chief Corporate Communications Officer, mentioned that regulatory approvals from international bodies are the only impediments to the refinery’s operational commencement. He confirmed that all mechanical work had been completed, with crude oil supplied by Shell and all pipes functioning correctly. However, approvals involving nuclear materials from bodies outside Nigeria are still pending. Once these approvals are obtained, the refinery will begin operations.