The Port Harcourt Refinery has begun processing crude oil, marking a pivotal moment in the country’s efforts to boost local refining capacity. The refinery, situated in Rivers State, has commenced operations at 60% of its capacity, processing 60,000 barrels per day (bpd).
The announcement came from Olufemi Soneye, the Chief Corporate Communications Officer of the Nigeria National Petroleum Company Limited (NNPCL), who confirmed the refinery’s operational status. This move is part of a broader strategy to reduce Nigeria’s dependency on imported petroleum products, which has been a long-standing issue despite the nation being Africa’s largest crude oil producer.
The Port Harcourt Refinery, one of the oldest in Nigeria, was established in 1965 and later expanded with a second plant in 1989. Together, they have a combined capacity of 210,000 bpd. After years of underutilization and shutdowns for maintenance, the facility has undergone extensive rehabilitation, with an investment of approximately $1.5 billion aimed at modernizing its operations.
This restart is not only critical for meeting domestic fuel needs but also for potentially altering fuel pricing dynamics in the country.
Posts on X have shown a mixture of optimism and skepticism regarding how this will affect fuel prices at the pump, with some users expressing hope for a decrease in petroleum costs, while others remain cautious, citing past delays and unfulfilled promises.
Unwana AssamI wrote; “I still don’t believe this until we see the product in the market. These guys have been using this refinery to lie and deceive Nigerians for too long and we can’t fall for their gimmick again. We don’t trust them.”
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In a video posted by Energy Time Podcast show evidence of the functional Port Harcourt Refinery thereby eliminating fears of unbelievers.
The commencement of operations at Port Harcourt is also in sync with other national efforts to enhance local refining capabilities. Notably, the Dangote Refinery, another major player in the Nigerian oil sector, has recently announced a reduction in the ex-depot price of Premium Motor Spirit (PMS), and the NNPCL has directed oil marketers to cease importing petrol, signaling confidence in local production capacities.
This development comes at a time when Nigeria is pushing for more self-sufficiency in energy, aiming to leverage its vast oil reserves to not only meet but also potentially exceed domestic demand. If the Port Harcourt Refinery can sustain and increase its output, it might play a crucial role in stabilizing fuel supply and prices within Nigeria, reducing the economic burden of imports and bolstering energy security.
As the nation watches closely, the success of this venture could set a precedent for the rehabilitation and operation of Nigeria’s other refineries, like those in Kaduna and Warri, which are also in various stages of upgrade or restart.
