The Nigerian National Petroleum Company Limited (NNPCL) has initiated a comprehensive technical and commercial review of its three major refineries located in Port Harcourt, Warri and Kaduna to determine their operational and financial viability. The company describes this move as “the beginning of a new era in Nigeria’s refining sector.”
NNPCL’s CEO, Bayo Ojulari, shared via the company’s verified X handle that this review is necessary to reposition the refineries “as modern, revenue-generating assets capable of meeting Nigeria’s fuel needs and aligning with international best practices.” He emphasised: “We are filled with determination and looking ahead with optimism to ensure our refineries operate effectively. Our drive is fuelled by the understanding that the prosperity of Nigerian states and the success of our nation will always take precedence over individual interests.”
At its core, the process currently underway, which is described as a “Technical and Commercial Review”, is meant to assess the condition of all three refineries, and determine whether to upgrade (high-grade) or repurpose them in order to ensure optimal performance and sustainability. In practical terms, high-grading means not just repairing broken equipment, but upgrading facilities to operate at higher efficiency, with global competitive standards, rather than simply returning to old output levels.
Part of the plan involves engaging both local and international experts, with NNPCL noting that it intends to bring on board Technical Equity Partners who have proven experience in running top-tier refineries to international standards. Discussions with these potential partners are ongoing and guided by strict technical and commercial benchmarks. The review ties into Nigeria’s National Energy Strategy, emphasising energy security, asset optimisation and compliance with the Petroleum Industry Act.
These three refineries, with a combined nameplate capacity of about 445,000 barrels per day, however, have not produced fuel at a commercial scale in more than a decade.
Specifically, the Port Harcourt refinery was shut down in May 2025 for scheduled repairs and remains inactive, despite its intention to resume operations. Meanwhile, oil marketers under the Independent Petroleum Marketers Association of Nigeria (IPMAN) have urged that if the Port Harcourt facility is not fixed immediately then NNPCL’s CEO should consider stepping down.
Earlier in the year, NNPCL ruled out selling the Port Harcourt refinery, reinforcing its commitment to retain and restore the plant rather than off-load it.
Reviving these refining assets could reduce Nigeria’s dependence on imported fuels, save foreign exchange expenditures on oil product imports, and potentially boost local job creation and industrial output. Enhancing the refineries’ efficiency may improve fiscal returns and stimulate related sectors like petrochemicals, contributing positively to national growth and budget stability.
