The Nigerian National Petroleum Company Ltd (NNPCL) has announced the receipt of 450,000 barrels of crude oil for processing at the Port Harcourt Refinery. The disclosure came during a session with the Senate Ad-hoc Committee on Investigation of Turn Around Maintenance (TAM) of the nation’s refineries, where Mele Kyari, the Group Chief Executive Officer (GCEO) of NNPCL, provided updates on the rehabilitation progress.
Mechanical completion of the Port Harcourt Refinery was achieved in December last year, marking a pivotal step towards its revitalization. Speaking before the lawmakers, GCEO Kyari emphasized the importance of stakeholder cooperation in the rehabilitation process, urging all parties to work together towards the common goal of enhancing Nigeria’s energy security and economic prosperity.
Assuring Nigerians of the government’s commitment to the refinery rehabilitation project, Kyari reaffirmed the sacrosanct nature of the delivery timelines for the Port Harcourt Refinery and other refineries across the nation. “We will make sure that promises that we made about the rehabilitation of these refineries are kept,” he stated confidently.
Providing detailed insights into the progress made, Kyari outlined the current status of the rehabilitation efforts. “We did a mechanical completion of PHRC in December. Now, we have crude oil already stocked in it. It is currently undergoing regulatory compliance test before we restream it. I assure you that this refinery will start in the next two weeks,” he declared.
Furthermore, Kyari provided updates on the rehabilitation efforts at the Warri and Kaduna refineries. While mechanical work has been completed on the Warri refinery, regulatory compliance processes are underway in collaboration with regulators. The Kaduna refinery is projected to be ready by December this year, aligning with the scheduled timeline.
Meanwhile, the Senate addressed media reports alleging intentions to expose fraud associated with the contracts and management of the Turn Around Maintenance (TAM) of the nation’s refineries. Senator Ifeanyi Ubah, Chairman of the Ad-hoc Committee, dismissed these claims during an interactive session, clarifying the Committee’s focus on rehabilitation and capacity optimization of the refineries.
Expressing dissatisfaction with the misrepresentation of their stance, Senator Ubah emphasized the Committee’s commitment to ensuring the efficient operation of the nation’s refineries. “Our concern is aimed at getting the nation’s refineries fully rehabilitated and returned to their respective optimal refining capacities,” he asserted.
As part of their oversight responsibilities, the Senate Ad-hoc Committee is scheduled to conduct on-the-spot assessments of the refineries in Kaduna, Warri, and Port Harcourt. These visits will provide firsthand insights into the progress of the rehabilitation works and facilitate informed decision-making.
The Port Harcourt refinery rehabilitation project, with an estimated cost of $1.5 billion, encompasses Engineering, Procurement, Construction, Installation, and Commissioning phases. Notably, the completion of Area-5, a segment of the refinery capable of producing 60 million barrels per day, signifies a major milestone in the project’s execution.
Under stringent Health, Safety, and Environment protocols, the rehabilitation efforts have recorded over 9.5 million man-hours with zero Loss Time Injury, underscoring a commitment to safety and operational excellence.
The NNPC officially initiated the rehabilitation program in April 2021, signing a contract with Tecnimont SPA for the comprehensive overhaul of the Port Harcourt Refinery. With a phased approach, the project is slated for completion by 2025, with the mechanical completion phase already accomplished in December.
The refurbished Port Harcourt refinery boasts state-of-the-art facilities, including Crude Distillation Units (CDU), Catalytic Reforming Units (CRU), Naphtha Hydrotreating Units (NHTU), and Continuous Catalyst Regeneration Units (CCR), among others. These upgrades are poised to enhance operational efficiency and expand the refinery’s product portfolio, encompassing petrol, diesel, LPG, aviation and domestic kerosene, low pour fuel oil (LPFO), and heavy pour fuel oil (HPFO).
In conclusion, the progress made in the rehabilitation of the Port Harcourt Refinery signifies a significant step towards achieving energy sufficiency and economic resilience in Nigeria. With concerted efforts from stakeholders and adherence to established timelines, the revitalization of the nation’s refineries is poised to unlock immense potential for growth and development, positioning Nigeria as a leading player in the global energy landscape.
