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NNPC gives fresh update on Port Harcourt refinery, reveals why September deadline was missed

Afolabi Hakim by Afolabi Hakim
November 19, 2024
in National
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  • According to Soneye, the NNPC began the commissioning of critical equipment and processing units after the mechanical completion in Nigeria.

The Nigerian National Petroleum Commission has given fresh update on the moribond but perennially-maintained and dollar-gulping Port Harcourt Refinery Company.

The state-owned Petroleum company had said the refinery would begin operation in September but the deadline did not materialise just like previous deadlines issued for the take-off of the refinery were not met.

NNPC said it did not meet its last deadline and deliver the much-awaited refinery, which many observers and experts have touted as the panacea to Nigeria’s energy crisis, because of the challenges it encountered during the project.

The NNPC Chief Corporate Communications Officer, Olufemi Soneye, disclosed this on Monday during an interview with the Punch.

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He stated that the company encountered risks and challenges while carrying out the rehabilitation, being a brownfield project.

According to Soneye, the NNPC began the commissioning of critical equipment and processing units after the mechanical completion in Nigeria.

“You may recall that mechanical completion of the PHRC revamp was successfully achieved several months ago, marking a significant milestone in the project. Following this, we began the commissioning of critical equipment and process units.

“However, as is common with brownfield projects of this scale and complexity, we encountered unforeseen risks and challenges,” he stated.

Nonetheless, the issues were resolved and commissioning activities have resumed.

Soneye stressed that work is being carried out to ensure the project’s completion.

“These issues have since been effectively resolved, and commissioning activities have resumed.

“Work is being carried out around the clock to ensure the successful completion of this critical project,” he told our correspondent.

Asked if there is any timeline for the completion of the project, he replied, “Shortly.”

It was observed that the NNPC desisted from giving new deadlines for the delivery of the refinery, having failed to meet its deadlines seven times.

The moribund Port Harcourt refinery is one of three owned by the Federal Government and managed by the NNPC.

Nigerians have been optimistic that the cost of fuel could crash if the country refines its crude and ends the import of refined products.

In March 2021, the Nigerian government acquired a $1.5bn loan for the renovation and modernisation of the refinery, but the contractor handling the project has yet to announce its completion.

The NNPC has on six different occasions failed to meet the deadlines it set for the completion of the refinery rehabilitation.

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