The Nigerian National Petroleum Company Limited (NNPCL) is on the brink of a significant milestone as it announced the imminent completion of a successful test run at the 60,000-bpd Port Harcourt refinery this month.
Femi Soneye, the spokesperson for NNPCL, emphasized the crucial role of this testing phase in ensuring the refinery’s efficient operation, marking a pivotal step towards restarting operations after a five-year hiatus.
The state-owned oil corporation had previously declared the mechanical completion of the Area-5 Plant rehabilitation work in December, stating that the initial phase of the plant had concluded. Following the Christmas break, the refinery is poised to refine 60,000 barrels of crude oil per day, with the first phase officially finished on December 20, 2023, according to Heineken Lokpobiri, the Minister of State for Petroleum Resources (Oil).
Lokpobiri highlighted the expectation that the refinery, once fully operational, would alleviate pressure on the nation’s foreign exchange reserves. The timing aligns with the upcoming commencement of operations at the Dangote Refinery, further contributing to the country’s refining capacity.
Despite the anticipated reduction in the cost of refined products upon the refineries’ operations, experts caution against expecting a massive price crash. The revival of the Port Harcourt refinery, coupled with the impending operation of the Dangote Refinery, promises a positive outlook for Nigeria’s oil refining sector.
