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PortHarcourt Refinery Begins Fuel Production After Years of Delays

Monday Yakubu by Monday Yakubu
November 26, 2024
in Business
0

Port-Harcourt Refinery

After years of delays and unfulfilled promises, the Port Harcourt Refinery has officially resumed operations, bringing relief to Nigerians. The Nigerian National Petroleum Company Limited (NNPC) confirmed the milestone on Tuesday, announcing that fuel production and truck loading had commenced.

NNPC spokesperson, Olufemi Soneye, confirmed the development, saying, “Port Harcourt Refinery begins production. Truck loading starts today, Tuesday.”

The refinery is initially producing 60,000 barrels of fuel per day, including Premium Motor Spirit (PMS), diesel, and other refined products. It now joins the Dangote Refinery, which began producing petrol in September, as the second active refinery in Nigeria.

The NNPC marked the occasion with a live-streamed commissioning and truck-out event on X (formerly Twitter). The company posted, “NNPC Ltd Delivers Port Harcourt Refinery as plant begins truckout of products today, Tuesday 26th November 2024 at 1.45 pm.”

The Port Harcourt Refinery, located in the oil-rich Niger Delta, was first commissioned in 1965 but fell into disrepair over the years. In 2021, the Nigerian government secured a $1.5 billion loan to renovate and modernize the facility, but the project faced multiple setbacks.

Promises from the Federal Ministry of Petroleum Resources and NNPC to restart the refinery were broken seven times before this eventual success. The refinery’s September 2024 completion deadline was missed, leading to frustration among Nigerians.

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Last week, the NNPC attributed the delays to the challenges of working on a brownfield project.

“You may recall that mechanical completion of the PHRC revamp was successfully achieved several months ago, marking a significant milestone in the project,” Soneye explained.

“However, as is common with brownfield projects of this scale and complexity, we encountered unforeseen risks and challenges. These have since been resolved, and commissioning activities resumed,” he added.

The reopening of the Port Harcourt Refinery is a significant step toward reducing Nigeria’s dependence on imported refined products. For years, the country has relied on imports to meet its fuel demands, leading to high costs for consumers. Many Nigerians are optimistic that the resumption of local refining could lead to lower fuel prices.

The refinery’s return to operation represents a major victory for the government and NNPC, signaling progress in Nigeria’s efforts to revive its refining capacity. With both the Port Harcourt and Dangote refineries now producing fuel, there is hope for greater energy security and reduced economic pressure on citizens.

While the initial production capacity is 60,000 barrels per day, the long-term goal is to increase output to meet the country’s needs. As the NNPC continues its rehabilitation efforts, all eyes will be on how efficiently the refinery operates and whether it delivers on its promise to ease the fuel burden on Nigerians.

Tags: FuelProductionRefinery

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