Old Port Harcourt refinery to resume operation in December, says FG

* Prelude to removal of fuel subsidy

The Federal government has given the assurance that the old Port Harcourt Refinery currently undergoing overhaul and rehabilitation would become operational in December 2022.

The Minister of State for Petroleum Resources, Timipre Sylva, disclosed this on Wednesday while briefing State House correspondents after the Federal Executive Council (FEC) meeting presided over by President Muhammadu Buhari at the Council Chamber, Presidential Villa, Abuja.

Sylvia said the development of the compressed natural gas (CNG) is still in progress, adding that it is one of the steps that must be achieved before the removal of petrol subsidy.

On the state of the ongoing repairs of the country’s refineries, Sylva said one of the two refineries, the old one with 60,000 barrels-per-day capacity, would be functional by the end of 2022, just as works are also progressing on both the Warri and Kaduna refineries.

The minister said: The rehabilitation of the refineries is ongoing. As we said earlier, the old refinery in Port Harcourt, which is about 60,000 barrels per day capacity, will be functional by December and, of course, we still have some time in the contracting time to conclude the rest of the Port Harcourt Refineries.

“Works in the Kaduna and Warri refineries are also in progressing very well. We will soon be embarking on an inspection visit and some of you journalists will be able to go with us to ascertain for yourselves what the extent of work is.”

Going further, Sylva said: “On the CNG development, it’s very much in progress. That is part of the promises we made, part of the things we want to put in place before the removal of subsidy. Subsidy has still not been removed because some of these conditions that were agreed upon have not been met and we’re definitely working assiduously to ensure that all the facilities are in place, the pumping stations and the conversion kits.

“I can assure you that work is going on very much in that regard. We may not be in a position to announce exactly what we are doing now or where we are, but I can assure you that work is very much ongoing.”

  • The Federal government, on March 17, approved $1.5 billion for the rehabilitation of the Port Harcourt Refinery, amid criticism of the figure.
  • The Nigerian National Petroleum Company (NNPC) Limited, on April 6, 2021, signed an Engineering, Procurement & Construction (EPC) contract with Tecnimont SpA, a subsidiary of Maire Tecnimont for the rehabilitation of Port Harcourt Refining Company.
  • The NNPC, while giving the reason the Federal government is spending the sum of $1.5 billion on the two refineries in Port Harcourt, said the funds were approved for the complete rehabilitation and not turnaround maintenance.
  • Sylva, earlier in March 2022, assured that the Federal government will complete the rehabilitation of the Port Harcourt Refinery, saying it would be functional within 18 months

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