After years of inactivity and several missed deadlines, the Port Harcourt refinery has officially commenced fuel production, the Nigerian National Petroleum Company Limited (NNPC) confirmed on Tuesday. According to the NNPC’s spokesperson, Olufemi Soneye, the refinery has started loading trucks with products, marking a significant milestone in Nigeria’s quest for local fuel production.
Soneye disclosed to our correspondent, “Port Harcourt Refinery begins production. Truck loading starts today, Tuesday.” In a statement shared on X, the NNPC added, “NNPC Ltd Delivers Port Harcourt Refinery as plant begins truck-out of products today, Tuesday 26th November 2024 at 1.45 pm.”
The refinery will initially operate with a capacity of 60,000 barrels per day, producing Premium Motor Spirit (PMS), diesel, and other petroleum products for the Nigerian market.
Historical Background and Renovation Efforts
The Port Harcourt refinery, located in Nigeria’s oil-rich Niger Delta region, was first commissioned in 1965 but became moribund after years of neglect. In March 2021, the Nigerian government secured a $1.5 billion loan for its rehabilitation and modernization.
Despite this financial commitment, efforts to revamp the facility were marred by repeated delays. The Federal Ministry of Petroleum Resources and NNPC failed to meet seven deadlines before now, including a recent missed completion target in September 2024.
Challenges in Revitalizing the Refinery
Soneye attributed the delays to the complexities and risks associated with the refurbishment of brownfield projects like the refinery. “You may recall that mechanical completion of the PHRC revamp was successfully achieved several months ago, marking a significant milestone in the project,” he explained.
However, he noted that commissioning critical equipment and process units faced unforeseen hurdles. “As is common with brownfield projects of this scale and complexity, we encountered unforeseen risks and challenges,” Soneye added.
These challenges were ultimately resolved, allowing the commissioning activities to resume and paving the way for the refinery to begin operations.
A Step Toward Energy Independence
The resumption of operations at the Port Harcourt refinery represents a critical step in Nigeria’s strategy to reduce reliance on imported fuel and enhance domestic production. By producing PMS and diesel locally, the government aims to address supply issues and stabilize fuel prices in the domestic market.
The successful rehabilitation of the refinery is seen as a positive development for the nation, signaling hope for the revitalization of other state-owned refineries in Warri and Kaduna.
The commissioning event, streamed live, marked the beginning of a new era for one of Nigeria’s most important energy infrastructures.
