Port Harcourt refinery: NNPC’s August deadline realistic, says IPMAN

The Independent Petroleum Marketers Association of Nigeria (IPMAN), says the August deadline for the commencement of operations at the Port Harcourt refinery is realistic.

Speaking in an interview on Channels TV, Zarama Mustapha, national operations controller of IPMAN, said the refinery would produce all required petroleum products when it begins production.

Since the federal executive council (FEC) approved $1.5 billion for its rehabilitation project in 2021, the Port Harcourt refinery has remained moribund, despite several promises of timely completion by Nigerian National Petroleum Company (NNPC) Limited.

On March 15, Mele Kyari, the group chief executive officer (GCEO) of the NNPC, had said the refinery would begin production by the end of March, but this has not happened.

Setting a new deadline, the NNPC GCEO said the refinery would begin operations in early August.

Speaking during the interview, Mustapha said the NNPC would not miss the new deadline.

“I  am confident and optimistic that this August deadline is going to be realistic,” he said.

“It will come on stream fully producing all the necessary components that refineries are supposed to produce.

“At least, the capacity, 60,000 barrels can give you somewhere around 10 to 12 million litres of premium motor spirit (PMS).”

Mustapha said the refinery would drive down the current price of petrol, but this would depend on the cost price of the crude at the international market.

He said the NNPC also has to pay the $1.5 billion loan borrowed for the project.

“There is this understanding that the refinery is going to perform independently and sell at whatever the daily market price for them to recoup their cost and it is not going to be run like a government entity like it has been before,” Mustapha said.

The IPMAN executive expressed optimism that the operationalisation of the refinery would boost daily petrol supply by 11 million litres to 15 million litres.