Port Harcourt Refinery Delays Deepen as NNPC Cites ‘Unexpected Challenges’ Amid Public Frustration
The Nigerian National Petroleum Commission (NNPC) has attributed repeated delays in the completion of the Port Harcourt Refinery’s rehabilitation to “unforeseen risks and challenges” typical of large-scale brownfield projects. The refinery, originally set for completion in September, has now seen seven missed deadlines, leaving Nigerians frustrated by the promise of more affordable, domestically refined fuel still unfulfilled.
NNPC’s Chief Corporate Communications Officer, Olufemi Soneye, disclosed on Monday that commissioning of the refinery’s critical equipment and processing units has resumed after addressing recent setbacks. “You may recall that mechanical completion of the PHRC revamp was achieved several months ago, marking a significant milestone in the project. However, as is common with projects of this scale, we encountered unforeseen risks,” Soneye explained.
Soneye declined to provide a new timeline for the refinery’s full operational launch, replying only with “shortly” when pressed for specifics. This lack of clarity has prompted concerns, especially as the refinery, dormant since the early 2000s, was seen as a key asset for addressing Nigeria’s reliance on imported fuel and its associated costs.
The $1.5bn rehabilitation project, led by Italian engineering firm Maire Tecnimont SPA, has come under scrutiny, with public interest intensified following the firm’s refusal to disclose a completion date despite a formal request from human rights lawyer Femi Falana under Nigeria’s Freedom of Information Act. Falana, frustrated by the prolonged delays, had filed for clarity, but was met with a response from the contractor’s counsel that it had no legal obligation to disclose contract details.
Public disappointment is mounting. Mele Kyari, NNPC’s Group Chief Executive, had assured lawmakers in July that Port Harcourt’s 210,000 barrels-per-day refinery would be operational by early August and that Nigeria could soon become a net exporter of refined petroleum products. However, that timeline came and went, with the NNPC providing no clear update until Monday’s comments.
As 2024 nears its close, the NNPC continues to import fuel to meet domestic demand, an ongoing financial strain the Port Harcourt facility was meant to relieve. The government had originally secured a $1.5bn loan to fund the refinery’s rehabilitation, with the goal of alleviating pressure on Nigeria’s foreign exchange reserves. Each missed deadline intensifies calls for greater transparency and accountability from the NNPC and the Ministry of Petroleum, as the nation looks to end its dependence on imported refined products and achieve long-promised fuel affordability.
