news

NNPC Limited Begins Full Technical and Commercial Assessment of Warri, Port Harcourt, and Kaduna Refineries

busterblog - NNPC Limited Begins Full Technical and Commercial Assessment of Warri, Port Harcourt, and Kaduna Refineries

The Nigerian National Petroleum Company Limited (NNPC Ltd) has announced that it has commenced a full technical and commercial assessment of the country’s three major refineries located in Warri, Port Harcourt, and Kaduna, marking a significant move toward restoring domestic refining capacity and reducing Nigeria’s long-standing dependence on imported petroleum products.


According to the company, the comprehensive evaluation is part of a larger national effort to ensure the refineries are fully revitalized and operated efficiently after years of inactivity and costly turnarounds that failed to yield sustainable results. The initiative, NNPC said, is being undertaken in line with its vision to transform Nigeria into a net exporter of refined petroleum products and end the recurring fuel importation crisis that has drained the economy for decades.


The announcement comes at a critical time when Nigerians are grappling with high fuel prices, fluctuating supply, and the effects of the global energy transition. The NNPC’s move signals a renewed commitment to transparency, accountability, and value delivery in the country’s oil and gas sector. The company emphasized that this new phase of assessment is not just a technical exercise but a thorough commercial review to determine the best models for long-term sustainability and profitability.


In a statement released in Abuja, NNPC Limited explained that the assessment will cover every aspect of the refineries’ infrastructure, from mechanical integrity and process systems to environmental compliance and operational efficiency. The process, it said, would involve international technical experts, original equipment manufacturers, and strategic partners to ensure the evaluation meets global standards. The goal, according to the company, is to establish the true state of each refinery and outline a clear, evidence-based path for achieving optimal performance once full operations resume.


Officials of NNPC further disclosed that the review will take into account modern energy efficiency practices and the integration of cleaner technologies, ensuring that the refineries not only meet local demand but also align with Nigeria’s commitments to sustainability and emission reduction. This is expected to position the refineries as competitive players in the West African downstream petroleum market.


The Warri Refining and Petrochemical Company (WRPC), the Port Harcourt Refining Company (PHRC), and the Kaduna Refining and Petrochemical Company (KRPC) have been the backbone of Nigeria’s refining infrastructure since their establishment. However, for over two decades, the plants have operated far below capacity due to poor maintenance, corruption, sabotage, and mismanagement. Previous rehabilitation projects, many costing billions of dollars, often stalled or delivered little improvement. As a result, Nigeria, despite being one of Africa’s largest crude oil producers, has relied heavily on fuel imports — a situation that has placed immense pressure on foreign exchange reserves and government finances.


Industry analysts say that NNPC’s latest move represents a decisive step under its new commercial structure as a limited liability company operating under the Companies and Allied Matters Act (CAMA). Since its transformation from a government agency into a fully commercial entity, NNPC Ltd has been under pressure to demonstrate efficiency, profitability, and corporate independence from political interference. The ongoing refinery assessments are seen as part of that broader reform agenda aimed at restoring investor confidence and improving energy security.


Speaking on the development, an NNPC official who requested anonymity stated that the company’s management is determined to ensure the refineries are no longer treated as political projects but as viable assets. “This is not another round of cosmetic inspection or paperwork. What we’re doing is a total and independent evaluation that will tell us what works, what doesn’t, and what needs to be rebuilt. It’s a new era of accountability in the downstream sector,” the source said.


The assessment is expected to also examine the financial and commercial frameworks surrounding the refineries. This will include a review of past contracts, maintenance records, and supply agreements. Experts believe this could lead to a restructuring of existing partnerships and possibly open opportunities for private investment or joint ventures in the near future. NNPC Ltd had earlier hinted at the possibility of adopting a public-private partnership (PPP) model to manage some refinery operations, ensuring efficiency and cost-effectiveness.


While the Warri and Port Harcourt refineries have seen some level of ongoing rehabilitation work in the last few years, the Kaduna refinery has remained largely dormant, facing major infrastructural decay and security challenges due to its location in the northern part of the country. The current assessment will determine the exact cost and technical requirements for bringing all three facilities to full operational capacity.


Energy economists have praised NNPC’s renewed focus on refinery restoration but warn that the exercise must go beyond paperwork and political promises. According to Dr. Samuel Adeniran, a petroleum economist and lecturer at the University of Lagos, “Nigeria has been here before. We’ve seen several announcements of refinery assessments and rehabilitation projects. What will make the difference this time is execution. If the NNPC can ensure transparency, adopt international best practices, and follow through on implementation, this could finally end the era of fuel importation.”


For many Nigerians, the state of the refineries has become a symbol of the country’s paradox — a leading crude oil exporter that cannot meet its domestic fuel needs. The rehabilitation of the refineries, alongside the anticipated operations of the Dangote Refinery, could drastically alter Nigeria’s petroleum landscape. Together, these facilities could make the country self-sufficient in refined products and even position it as a regional supplier to neighboring African nations.


NNPC’s Group Chief Executive Officer, Mele Kyari, had earlier reaffirmed the company’s commitment to achieving self-sufficiency in petroleum product supply by the end of 2025. Kyari maintained that restoring local refining capacity was critical to ending the subsidy era and stabilizing the downstream market. He emphasized that the company’s transformation is guided by global standards of governance and efficiency.


The ongoing technical and commercial assessments, therefore, represent a foundation for that ambitious target. The company’s management has assured stakeholders that the process will be transparent and inclusive, with regular progress updates to the public. It also hinted that results from the evaluation will inform decisions on potential partnerships, operational timelines, and capacity optimization plans.


As Nigeria stands at an economic crossroads, with inflation and currency volatility tied closely to fuel importation costs, the success of NNPC’s refinery strategy could play a pivotal role in reshaping the nation’s financial and energy future. If properly executed, the assessments could mark the beginning of a turnaround for an industry that has long been defined by inefficiency and controversy.


For now, all eyes are on NNPC Limited as it embarks on what could be the most critical phase of Nigeria’s energy sector reform in decades. The company’s ability to deliver tangible results from the Warri, Port Harcourt, and Kaduna refinery assessments will determine whether this is truly a new dawn for Nigeria’s oil industry or just another chapter in a long history of unfulfilled promises.


Scroll to Top