The 210,000-barrel-per-day Port-Harcourt refinery may finally commence operations by the end of July after several postponements.
The new date was disclosed on Monday by the National Public
Relations Officer, Independent Marketers Association of Nigeria, Chief Ukadike
Chinedu.
He stated that the development would stimulate economic
activities, reduce the price of petroleum products and ensure adequate supply.
Last year in December, the Minister of State for Petroleum
Resources, Heineken Lokpobiri, announced the mechanical completion and flare
start-off of the biggest crude refinery in Port Harcourt.
The refineries comprise two units, with the old plant having
a refined capacity of 60,000 barrels per day and the new plant has 150,000 BPD.
The refinery shut down in March 2019 for the first phase of
repair works after the government secured the service of a technical adviser of
Itay’s Maire Tecnimont to handle the reviews of the refinery complex, with oil
major Eni appointed technical adviser.
On March 15, 2024, it was reported that the Group Chief
Executive Officer of NNPC Limited, Mele Kyari, stated that the Port Harcourt
refinery would commence operations in about two weeks.
The NNPC boss disclosed this during a press briefing after
he appeared before the Senate Ad hoc committee investigating the various
turnaround maintenance projects of the country’s refineries.
He said, “We did a mechanical completion of the refinery
that was what we said in December. We now have crude oil already stocked in the
refinery. We are doing regulatory compliance tests that must happen in every
refinery before you start it, and I assure you that this Port Harcourt refinery
will start in two weeks.”
However, the machinery had yet to begin operations two
months after he made the promise.
In an exclusive interview on Monday, the IPMAN official
stated that the work done represented a complete turnaround, not just
rehabilitation, emphasising that every effort would be made to meet the July
deadline.
Ukadike said, “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 armoured
cable to brand new and everything there is almost like a brand-new refinery.
“The turnaround on maintenance is very massive and the job
is being done day and night. All hands are on deck to make sure that they meet
that target. By ending of July the refinery should be ready.”
When reminded of several promises by the government to kick
start the project, Ukadike replied, “Yes, there have been delays but they
didn’t tell us any reason for the delay of the last deadline given in April.
“They are not facing any challenges at all; I can say the
refinery is 99 per cent ready.
“What we want is competition. I am very sure that with the
two refineries, the price of petrol will be reduced. Dangote is coming soon and
the Port Harcourt refinery is almost ready too and that is very good. We need
that competition for the benefit of the nation.”
The new timeline coincides with a proposal by the Dangote
Refinery to commence petrol production by ending of next month (June).
The Chairman of the Dangote Group, Aliko Dangote, while
speaking at the Africa CEO forum annual summit in Kigali, assured Nigerians
that following the laid-down plans of the Dangote Refinery, Nigeria would no
longer need to import petrol starting next month.
According to him, the refinery can meet West Africa’s petrol
and diesel needs, as well as the continent’s aviation fuel demand.
With an average monthly consumption of 1 billion litres,
Nigeria currently spends approximately N520bn on the importation of PMS every
month.
This means the government may cut approximately N6.2tn
yearly import bill.
Commenting, the NNPCL Chief Corporate Communications
Officer, Femi Soneye, said regulatory approvals from international bodies were
the only impediment stalling the operational commencement of the refinery.
Soneye in an exclusive interview with our correspondent on
Monday reiterated that mechanical completion had been achieved, and all pipes
were operating flawlessly, transporting crude oil supplied by Shell.
He said, “We have said that the mechanical completion has
been done and every other thing is done. There is crude oil and all the pipes
are working; we are only waiting for regulatory approvals. Like I said, some of
our materials and the things we use have to do with nuclear and we need the
nuclear authorities to give us approval to use all those things at the site.
“And some of these approvals come from bodies outside of
Nigeria. Until they give us those approvals, we can’t begin operations. We are
ready to go but if something happens without it, which would be another issue.
Everything has been completed in terms of our work, and once we get those
approvals, it will start operations.”