The Port Harcourt refinery, Nigeria’s premier refining facility, has failed to meet its seventh production deadline, casting doubts on the country’s ability to refine its own oil.
Background
The refinery, with a 210,000 barrels-per-day capacity, was initially scheduled to restart operations in December 2023. However, repeated delays have pushed the commencement date to:
– Christmas break 2023
– End of January 2024
– April 2024
– End of July 2024
– Early August 2024
– September 2024
Current Status
Despite assurances from the Nigerian National Petroleum Company Limited (NNPC), the refinery remains inactive. The Chief Financial Officer, Umar Ajiya, promised production would begin in September 2024, but the deadline has passed without an update.
Contractor’s Response
Maire Tecnimont SpA, the contractor overseeing the rehabilitation, promised to provide details on the project’s completion by October 2, 2024, in response to inquiries from Senior Advocate of Nigeria, Femi Falana.
Consequences
Nigeria’s reliance on imported fuel continues, with the country spending up to N2 trillion monthly. The refinery’s inactivity has sparked criticism, with some advocating for privatization.
_History_
The Port Harcourt refinery, operational since 1965, has been moribund for years. A $1.5 billion loan was acquired in 2021 for renovation and modernization.
Nigerians React
Citizens express disappointment and frustration, hoping the refinery will commence operations to reduce fuel importation and lower pump prices.
Will Nigeria’s refining woes ever end? Only time will tell.
Punch.
