The much-celebrated reopening of the Port Harcourt Refinery appears to have stumbled out of the gate, leaving many Nigerians disappointed and skeptical about its operational status.
Despite initial claims by the Nigerian National Petroleum Company Limited (NNPCL) that fuel production and truck loading had commenced, recent investigations reveal a disconcerting lack of activity at the facility.
What’s Happening at the Refinery?
A report by The Punch, whose correspondent visited the site, revealed that the refinery is devoid of the bustle typically associated with a functional petroleum plant. Workers on-site described the facility as undergoing calibration, a process expected to continue into the following week, according to the report.
Tekedia Mini-MBA edition 16 (Feb 10 – May 3, 2025) opens registrations; register today for early bird discounts.
Tekedia AI in Business Masterclass opens registrations here.
Join Tekedia Capital Syndicate and invest in Africa’s finest startups here.
This contradicts earlier declarations by NNPCL’s Group Chief Executive Officer, Mele Kyari, who inaugurated the refinery’s Area 5 terminal on Tuesday with claims that 200 trucks were loading petrol daily.
However, insiders have disclosed that the trucks seen leaving the facility were loaded with “dead stock” — old petroleum products stored in tanks before the refinery’s shutdown in 2015/2016. These products, including Premium Motor Spirit (PMS), kerosene, and diesel, require further processing to meet commercial standards.
A refinery worker speaking anonymously revealed that much of the activity touted as progress is heavily reliant on refurbished manual systems, which fall short of the industry standard of digital operations.
“The products being loaded are from old stock, and the pumps are refurbished. This is far from the state-of-the-art operations required for a refinery of this scale,” the worker explained.
The worker further noted that the facility’s Crude Distillation Unit (CDU), which is currently operational, produces limited quantities of naphtha, kerosene, and diesel. However, the CDU cannot produce the critical components for Premium Motor Spirit (PMS), commonly known as petrol.
Public Skepticism Lingers
The refinery’s relaunch has drawn sharp criticism from Nigerians who see parallels with the much-criticized launch of Nigerian Air, which many believe was a rushed and largely ceremonial unveiling. Local residents and stakeholders have dismissed the refinery’s reopening as another elaborate public relations exercise.
For instance, a resident of the neighboring Alode community, Osaro, voiced his frustration: “After that ceremony with Mele Kyari, they claimed the refinery was operational. But what’s happening now? Nothing but loading on the pages of newspapers and social media,” he said.
Meanwhile, the NNPCL has dismissed allegations that the refinery is not functional, calling such claims a display of “ignorance.” NNPCL spokesperson Olufemi Soneye explained that the refinery’s old and new facilities have been integrated into a single terminal for product load-out.
However, these clarifications have done little to quell public skepticism.
Reports by SaharaReporters corroborate findings that the refinery’s current operations are minimal. According to insiders, the facility’s capacity to produce fuel remains severely limited, with the ongoing rehabilitation project now exceeding $2 billion.
The full operational capacity of the refinery, projected at 150,000 barrels per day (bpd), is not expected to come online until 2026, assuming additional funding is secured.
“The Crude Distillation Unit (CDU) is still running but the operation of the depot is shut down at the moment. The CDU produces naphtha, diesel and Kerosene but cannot produce the component for the production of PMS,” a source revealed to SaharaReporters.
“All these products cannot serve the masses as the production of these products are in small quantities even if the plant runs at 100% throughput. The processing plant of 150,000bpd capacity will commence operations in 2026; that is if money is made readily available to meet the timelines because at the moment the project has exceeded $2billion.”
The controversy surrounding the Port Harcourt Refinery’s reopening comes at a time of heightened economic challenges in Nigeria. Citizens grappling with soaring fuel prices and inflation had hoped the refinery’s return would alleviate some of these pressures through reduced cost of petrol. Instead, the perceived inefficiencies and lack of transparency have fueled public distrust.
Critics argue that the situation mirrors a pattern of under-delivery of government promises in the oil and gas sector. This latest episode raises broader questions about the governance and accountability of the country’s refinery rehabilitation projects.